Arbitration proceedings are always considered as a convenient proceeding in comparison with the lengthy legal procedures especially in matters of civil nature. The main purpose of an arbitration proceeding is to lay down rules for conciliation on arbitrary matters of both domestic and international. The New Delhi International Arbitration Act 2019 was enacted on 26th July 2019 with six chapters and 35 sections with the objective of having sole independent procedure for resolving institutionalized arbitration matters along with acquiring and transferring undertakings of Alternative Dispute Resolution in the International Arbitration Centre. This act also gives importance to make the International arbitration Centre as an institution of National Importance.
Section 3 of the act signifies importance of natural justice while considering the international and domestic arbitral disputes through the institution of the Arbitration centre subject to the provisions of the Act. The administration of the arbitration centre exercised through the Chair person, two full time members, one part time member appointed as a secretary and should act as financial advisor, a registrar, a council and any member or members appointed by the Secretariat.
Section 14 of the act enumerates the functions of the centre including granting of diplomas and certificates, services of the conciliation and arbitration proceedings in cost effective timely and efficient manner, imparting training to alternative dispute resolutions programs, coordination of among organizations or institutions of national and international levels and all other functions put directed or ensured by Central Government for the promotion of arbitration and dispute resolution.
Section 24, 25 and 26 provides the provisions of finance, accounting and auditing. The central Government grant fund very financial year for carrying out the financial activities of the Centre. The fund from Central Government, funds from contributors, grant, fees received, are all will be put in the Centre’s funding through bank deposits and will be utilized for the salaries, allowances and expenses of the centre. The accounts records will be audited by the comptroller and auditor General of India and would be sent to the Central Government.
By virtue of section 29 an Arbitration Academy is established for imparting training to the Arbitrators in International Commercial Arbitration and for legal Research in Arbitration dispute resolution.
The most important feature of the institution of the centre is the reduction of litigation in conventional legal system. The Arbitration and conciliation process not only reduces the litigation burden but also ensures the parties speedy resolution and justice. The function of the centre promotes the Arbitration and conciliation process in the International and Domestic arena and there by helps in resolving disputes between the parties that would ultimately promotes legal consolidation on a global perspective.
The Structure of Arbitration, conciliation and the mediation proceedings through the establishment of the Centre adhering to the provisions of the Act had widened the scope of the arbitrary proceedings and the time to time necessary amendments of the Act in the internal structure of the functions of the Centre has there by supports the smooth functioning of legislation and legal system undoubtedly.
