Supreme Court Judge, Justice Sanjay Kishan Kaul who participated in the 12th International Legal Forum of the Asia-Pacific Region has promoted India as an Arbitration-friendly destination, stating that judicial interference is minimal in the country.
He said that the alternate dispute redressal mechanism should be seamless and bereft of hurdles so as to increase the confidence of investors. He thus urged that the judiciary should exercise restrain while intervening in arbitration proceedings, particularly at the stage of enforcement of foreign awards.
Stating that there are certain limits to the pro-arbitration principle, he gave the example of India wherein an award tainted by fraud cannot be enforced. He, however, added that courts can play a handy role by granting interim relief prior to, or in some cases, during the constitution of the arbitral tribunal.
Justice Kaul went on to state that usually, bilateral agreements provide for disputes to be resolved through arbitration and now there are even proposals coming up for setting up of 'investment court'.
OTHER KEY POINTS OF ADDRESS
-He stressed the formation of a framework to regulate cross-border insolvency in view of its increasing relevance as in the new day and age, corporate transactions and structures are becoming complex. He proposed two approaches, namely territorialism and universalism to be induced into it.
-He highlighted the non-functioning of the World Trade Organization (WTO) since 2019 as vacancies are yet to be filled. Justice Kaul mentioned the recent G-20 held in India, in which the members also declared that there's a need to pursue reform of the WTO to improve its functions and conduct discussions to ensure a well-functioning dispute settlement system by 2024
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