Businesses require quick resolution of their disputes in a meaningful manner.
In addition to the Courts established by law, parties can resort to other mechanisms for dispute resolution.
Arbitration, Mediation and Conciliation are some of the preferred modes for dispute resolution. These processes can be initiated by the parties themselves outside the Court systems.The parties can also approach different institutions attached to the local Courts to seek resolution through these mechanisms.
Resolution of disputes through umpire is a quick way of adjudication. The umpire is the arbitrator. Parties can agree to the name of an arbitrator, or they can approach the court for appointment of an arbitrator.
The arbitrator has the liberty of hearing cases on shorter intervals, long hours and with mutual convenience of parties. Venue of the hearing is also decided by the Arbitrator.
The Arbitration process is not truly bound by the CPC or Evidence Act. But the generally accepted legal process and principles are followed. Parties are at liberty to agree to a procedure to be followed by the Arbitrator.
The parties can seek interim as well as final relief from the arbitrator.
The order of the arbitrator is appealable before the jurisdictional courts. It can be enforced like an order of a civil court. Except for very limited nature of disputes, which involves sovereign functions or criminal offences, most of the disputes are arbitrable.
At any time, even prior to commencement of arbitration, a person can also approach civil court under Section 9 of arbitration act for urgent interim order like dissipation of the value of an asset or irreparable damage to the party.
We have successfully conducted arbitration proceeding.
Philips India Ltd. vs. Chikitsabroti Udyog
In the event of a dispute, the parties can reach out to the other party to sit down and settle the issues amicably.
At times, parties believe that the dispute can be resolved if a mediator acts as a facilitator to bridge the gap between them. A trained mediator helps the parties to resolve the issue in a mutually acceptable manner.
Mediation results in a win-win situation for both the parties. The mediation discussions proceed in a manner such that parties trust the mediator and the other side to resolve the situation.
The settlement is then drawn out in the form of an understanding or agreement between the parties and signed by the parties. Once the settlement is signed, it is binding as an order of the Court.
The Commercial Courts Act has made it mandatory to initiate pre-institution mediation proceedings before filing of a commercial suit, unless the parties seek an urgent interim relief.