Alternate Dispute Resolution – An Overview

Alternate Dispute Resolution (ADR) is a medium of resolving dispute outside the formal legal system. There is a long and old tradition in India encouraging resolution of disputes informally, wherein disputes are referred to third parties. The ADR mechanism consists of negotiation, conciliation, mediation, arbitration and an array of other hybrid procedures. ADR has witnessed phenomenal growth over the past several years to include many areas in addition to the resolution of traditional commercial dispute through mediation, as a significant first step towards the development of this process.

As a part of the effort to make the judiciary work in a more effective and efficient manner and to resolve commercial disputes, without the intervention of the courts, ADR is being encouraged in India. The efforts are not restricted to the national territory of India but even beyond. With this end in mind, India has signed bilateral investment protection agreements with United Kingdom, Germany,