With the passage of time, preference for referring disputes to alternate dispute resolution mechanisms over court-based litigation has grown. International commercial transactions involving an Indian company and a foreign company have significantly spurted and the necessity to address the legal issues arising out of such transactions has been the need of the hour by creation of an institutional center. The President promulgated the ordinance for establishing the New Delhi International Arbitration Centre, which would replace the International Centre For Alternative Dispute Resolution which was set up in 1995. The objective for setting up such an institution has been defined as:

“An Ordinance to provide for the establishment and incorporation of New Delhi International Arbitration Centre for the purpose of creating an independent and autonomous regime for institutionalized arbitration and for acquisition and transfer of the undertakings of the International Centre for Alternative Dispute Resolution and to vest such undertakings in the New Delhi International Arbitration Centre for the better management of arbitration so as to make it a hub for institutional arbitration and to declare the New Delhi Arbitration Centre to be an institution of national importance and for matters connected therewith or incidental thereto; “

The Ordinance states that the center shall comprise of a Chairperson who shall head the institution as appointed by the Central Government in consultation with The Chief Justice of India and shall be such a person who has been a Judge of the Supreme Court or a Judge of a High Court or an eminent person, having special knowledge and experience in the conduct or administration of arbitration law or management. Furthermore, the Chairperson shall be assisted by two eminent persons, who are either Part Time or Full Time members and having substantial and extensive knowledge in international and domestic arbitration and furthermore one Part Time member who shall be a representative of a recognized body of commerce, Secretary to the Ministry of Law & Justice, Finance Advisor and a Chief Executive Officer.

The objectives of the such an established body under Section 14 of the Ordinance includes:

  1. to bring targeted reforms to develop itself as a flagship institution for conducting international and domestic arbitration;
  2. to promote research and study, providing teaching and training, and organising conferences and seminars in arbitration, conciliation, mediation and other alternative dispute resolution matters;
  3. to provide facilities and administrative assistance for conciliation, mediation and arbitral proceedings;
  4. to maintain panels of accredited arbitrators, conciliators and mediators both at national and international level or specialists such as surveyors and investigators;
  5. to collaborate with other national and international institutions and organisations for ensuring credibility of the Centre as a specialised institution in arbitration and conciliation;
  6. to set-up facilities in India and abroad to promote the activities of the Centre;
  7. to lay down parameters for different modes of alternative dispute resolution mechanisms being adopted by the Centre
  8. such other objectives as it may deem fit with the approval of the Central Government.


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Ordinance: The New Delhi International Arbitration Centre Ordinance, 2019