How Joint Venture Disputes are Evolving — Arbitration, Enforcement & Legal Remedies

Introduction to Joint Venture Disputes

Joint Ventures refer to the organizational structure where there are joint control, assets or resources pooling and mutual profit-sharing between two or more companies. In India, Joint Ventures are governed by Companies Act,2013; FEMA,1999 and various other sector-specific regulations. Joint Venture Disputes are the ones that occur when collaborative organizations or businesses between the parties break down owing to breaches, violations or conflicting expectations. The most common reasons for JV Disputes are the management conflicts, differences in opinions, breach of contractual clauses and governance failures. Nowadays, in the cases of international JVs; cultural imbalances are one of the core reasons for the disputes between the entities. Due to the increase in the various types of disputes and misalignments, the nature of the JV Disputes has been constantly evolving. The adjudication and resolution of these disputes have also been