ARBITRATION

In order to resolve a dispute, two parties must agree to the appointment of an arbitrator, who will then provide a legally enforceable decision. It is a method of resolving conflicts outside of the courts, which simultaneously saves time and resources. A legal procedure known as arbitration encourages the mutual resolution of conflicts between two or more parties by the selection of a neutral third party, the judgment of whom is binding on the parties to the dispute. In today’s fast-paced society, arbitration is a very useful method for hastening the resolution of conflicts between two parties.

Arbitration is Necessary

The development of a flexible, reasonable, advantageous, and speedy method of resolving disputes without subjecting the parties to the rigorous, resource-intensive, and time-consuming process of the traditional justice delivery system was required by the advancement, liberalization, and globalization of international business relations.

Benefits of Arbitration

Lessening of Court Involvement
Lower Costs of Dispute Resolution and Redress
Quick and Timely Resolution
Enforcement of Awards through Neutrality of Arbitrator

All disputes however are not arbitrable and there are certain disputes which fall outside the categories of arbitrable disputes as held by the Hon’ble Apex Court in the matter of Booz Allen and Hamilton Inc V. SBI Home Finance Ltd. These are:

a) criminal offenses

b) guardianship matters

c) insolvency and winding up proceedings

d) probate-related issues, letters of administration, succession certificates, etc.

e) eviction proceedings

f) patents, trademarks, copyright

g) Anti Trust/ competition laws

h) Bribery/Corruption Laws

i) Fraud