The Arbitration and Conciliation Act, 1996 governs arbitration, conciliation, and related dispute resolution mechanisms in India. It aims to provide an efficient, cost-effective, and time-saving alternative to traditional court litigation. The Act is based on the UNCITRAL Model Law on International Commercial Arbitration and ensures fairness, neutrality, and enforcement of arbitral awards.

Alternative Dispute Resolution (ADR) under the Act

The Act recognizes four primary modes of ADR:

1. Arbitration – A neutral arbitrator hears both parties and delivers a binding award, similar to a court judgment.
2. Conciliation – A conciliator helps disputing parties reach a mutually acceptable settlement without imposing a decision.
3. Mediation – A structured negotiation process where a mediator assists parties in finding a voluntary resolution.
4. Negotiation – Direct discussions between parties to settle disputes amicably without third-party intervention.

Key Features of the Arbitration and Conciliation Act, 1996

• Provides a legal framework for domestic and international arbitration.
• Ensures minimal court intervention in arbitration proceedings.
• Recognizes and enforces arbitral awards as binding.
• Encourages speedy resolution of disputes to reduce the burden on courts.

ADR mechanisms under this Act offer businesses and individuals a faster, more confidential, and cost-effective way to resolve conflicts while maintaining professional relationships.

For expert assistance in arbitration, conciliation, and other dispute resolution methods, Ojash Associates is here to help. Contact us today!