- 5-Year B.A., LL.B. (Hons.)
- Nov 2019
- Seminar Course
There is a general agreement that arbitration, as a method of settlement of commercial disputes, plays an ever important role in the discipline of international commercial transactions today. Most, if not all, contracts affecting international commercial transactions provide for settlement of any dispute/difference arising under these contracts between the parties would be settled through arbitration.
At the international level, the Model Law on International Commercial Arbitration, 1985, adopted by the United Nations Commission on International Trade Law (UNCITRAL), provides modern arbitration structure which intends to integrate international commercial arbitration into the domestic arbitration machinery. It is interesting to note that while adopting the Model Law into their domestic sphere States, however, may deviate from the provisions of the Model Laws as there is no international obligation imposed on them to reproduce the entire regime in their domestic sphere. In contrast, regarding the subject of recognition and enforcement of foreign arbitral awards is concerned international law provides a completely different type of regime: the Geneva Protocol of 1923; the Geneva Convention of 1927; the New York Convention, 1958. The later, save as otherwise provided in the conventions, leave no scope for pick and choose on the part of the member states of these conventions.
The Indian participation in the development of international commercial arbitration (ICA) law can be traced to the adoption of the Geneva Conventions of 1923 and 1927 and then, the New York Convention on Recognition and Enforcement of Foreign Arbitral Awards, 1958. These international conventions were being given effect to in India through the Foreign Awards (Geneva Protocol & Convention) Act of 1937 and the Foreign Awards (Recognition & Enforcement) Act of 1961.With the objective of modernizing its legal regime applicable to domestic and international commercial arbitration, India enacted the Arbitration and Conciliation Act in the year 1996, followed by an amendment to the principal Act in 2015.