Arbitration Law To Attract More Foreign Capital

ICA executive director G K Kwatra said that the Arbitration & Conciliation Act, 1996, enacted last month, did away with all provisions that delayed arbitration proceedings in the country.

The new law, he said, was an adoption of the model recommended by the United Nations Commission on International Trade Law (Uncitral) which had been universally accepted.

The Act had eliminated court intervention in arbitration proceedings and the final award by narrowing the scope for challenging arbitration and by obviating the requirement for ratification of arbitration awards.

The Act lists only five grounds under which arbitration proceedings could be challenged and stayed. This will ensure that the law is not misused to stall arbitration,