Will Arbitration Go Awry?
Indian courts have increasingly adopted an arbitration friendly stance, but legal pitfalls could hinder the dispute resolution system
The Indian judiciary has largely demonstrated a pro arbitration stand when it comes to dispute resolution in tune with international commercial arbitration. This alternative legal mechanism can benefit those who do not want to take recourse to lengthy courtroom procedures. However, there are legal traps which can be used by a party to avoid arbitration. One way of doing it is to raise an allegation of fraud against others and approach a civil court for an anti arbitration injunction. But Indian courts are wary of this practice and do not grant anti arbitration injunctions except in rarest of cases.
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