ICA - Introduction

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International Commercial

Arbitration

B.A.LL.B. 4th Year


Pendency

Backlog

Alternative Dispute Arrears


Resolution Delay

Need to devise a mechanism

ADR Techniques developed


Arbitration

Conciliation
Various Techniques of
ADR Mediation

Negotiation

Lok Adalats
Neutral third party appointed by parties

Binding award

Arbitration Reasoned award

Party autonomy

Various types- Domestic, International, Foreign, ad


hoc, institutional
Conciliation

NEUTRAL THIRD NON-BINDING THIRD PARTY MAKE PARTIES SETTLE THE


PARTY UNLESS AGREED RECOMMENDATIONS DISPUTE AMICABLY
Mediation

NEUTRAL THIRD PARTY ASSISTS THE PARTIES AS PARTIES FIND THE SOLUTION
FACILITATOR AND EVALUATOR AMICABLY
Negotiation

PARTIES ON OWN INITIATIVE NON-BINDING DISCUSSIONS AND


DLEIBERATIONS TAKE PLACE
Kinds of Arbitration
• Jurisdiction • Procedure and Rules
• Domestic • Institutional
• International
• Ad hoc
• International
Commercial Arbitration • Fast Track
• Domestic Arbitration
• International Arbitration
• International Commercial Arbitration

Kinds of • Institutional
• Ad Hoc
Arbitration • Fast Track

• Foreign Arbitration
• Statutory Arbitration
• Look Sniff Arbitration
• Takes place in India
Domestic • Parties are Indian
• Subject matter in India
Arbitration
• Substantive law of India
• Within or outside India
• Ingredients of foreign origin
• Parties
International • Subject matter of the dispute
Arbitration • Decided in accordance with
substantive law of India or any
other country
Arbitration relating to disputes arising out of legal
relationships, where at least one of the parties is
• (i) an individual who is a national of, or
habitually resident in, any country other
International than India; or
• (ii) a body corporate which is incorporated
Commercial in any country other than India; or
Arbitration • (iii) [* *] an association or a body of
individuals whose central management and
control is exercised in any country other
than India; or
• (iv) the Government of a foreign country;
Case Laws
• TDM Infrastructure Pvt Ltd. v. UE Development India Pvt
Ltd, 2008 (14) SCC 271- despite TDM Infrastructure Pvt. Ltd. having
foreign control, it was concluded that “a company incorporated in
India can only have Indian nationality for the purpose of the Act

• M/s. Larsen and Toubro Ltd. SCOMI Engineering BHD v. Mumbai


Metropolitan Region Development Authority, 2018 SCC OnLine SC
1910 the Indian company was the lead partner in a consortium
(which also included foreign companies) and was the determining
voice in appointing the chairman and the consortium was in Mumbai,
the Supreme Court held that the central management and control
was in India
• Reliance Industries v Union of India, 2014
Institutional Arbitration
• Arbitral institution conducts arbitration
• Parties specify in the arbitration agreement
• Rules based on the UNCITRAL Model Law
• Indian Council of Arbitration, New Delhi
• The Federation of Indian Chamber of Commerce and
Industries (FICCI), New Delhi
• Mumbai Centre for International Arbitration, Mumbai
• ICC Paris, WIPO, Geneva, LCIA London, SIAC Singapore,
AAA USA
• Agreed and arranged by parties themselves
without recourse to an arbitral institution

• Can be either domestic, foreign,


international arbitration

Ad hoc Arbitration
• Documents only Arbitration
• No oral arguments
Fast Track
Arbitration
• Based on Statement of Claims
S. 29 B and Statement of Defence

• Sole arbitrator
• When proceedings
take place outside India

Foreign • Award is required to be


enforced in India
Arbitration
• Section 44- Foreign Awards
• Mandatory form of Arbitration

• Imposed on parties by operation of


Law

• Defence of India Act 1971


Statutory • Railways Act 1890

Arbitration • Micro, Small and Medium Enterprise


Act, 2006
• Hybrid Arbitration or Quality
Arbitration

• Combination of Arbitral process


Look Sniff and expert opinion

Arbitration • Arbitrator appointed based on his


specialized knowledge, expertise
and experience

• LCIA. London Maritime Institute

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