Justice Nagarathna Stresses Arbitration and Mediation as Equal Pillars of Modern Justice System
TL;DR
- Supreme Court judge Justice BV Nagarathna called arbitration and mediation integral to modern justice, not just alternatives to litigation.
- She highlighted the necessity of ADR in a globalised, complex economy at an international conference in New Delhi.
- Justice Nagarathna noted India's progress and remaining challenges in institutionalising mediation and sector-specific arbitration.
Overview
At the International Conference on 'Arbitration in the Era of Globalisation' in New Delhi, Supreme Court judge Justice BV Nagarathna emphasised that arbitration and mediation are essential and should be regarded as fundamental components of a modern justice system, not merely as alternatives to litigation. Her remarks stressed the growing role of alternative dispute resolution (ADR) in global commerce and the importance of further sectoral and institutional development in India.
What Happened
Justice BV Nagarathna spoke at an international arbitration conference organised by the Indian Council of Arbitration, highlighting that disputes are social, commercial, and relational, and often require voluntary rather than strictly legal solutions.
She observed a marked shift in dispute resolution preferences towards ADR mechanisms such as mediation and arbitration, especially for cross-border commercial disputes, citing advantages like confidentiality, procedural flexibility, party autonomy, and enforceability.
The judge also discussed the significance of international conventions (e.g., the New York Convention) for arbitration and explained the protective role of investment arbitration under bilateral treaties.
Regarding mediation, she noted limited progress in implementing India's Mediation Act, 2023, observing that provisions remain unnotified and the Mediation Council of India is yet to be set up. She called for improved coordination and sector-specific expertise to bolster ADR in India.
Context
India has been reforming its legal framework to promote alternative dispute resolution and reduce case backlogs in courts, including the enactment of the Mediation Act, 2023 and amendments to commercial court procedures.
Other jurisdictions, like Singapore, have institutionalised mediation and arbitration through dedicated bodies, serving as models for further development of ADR infrastructure in India.
Why It Matters
- Adoption and effective implementation of ADR mechanisms can ease pressure on courts, ensure faster dispute resolution, and promote business confidence in India's legal system.
- Further institutional progress and sectoral expertise in arbitration and mediation could make India a more attractive venue for commercial dispute resolution domestically and internationally.