The principle behind arbitration proceeding is to provide
parties an opportunity to resolve a dispute mutually, especially in
commercial sector, without going through arduous judicial
proceedings thereby saving time and money, and enhancing
efficiency, with minimal interference of courts. In India, where ad
hoc arbitration is much more in practice than institutional
arbitration, parties, counsels and arbitrators have begun to
recognize ad hoc arbitration as a completely scrutiny free
procedure causing delay in resolving dispute, ultimately defeating
the entire purpose of arbitration. Considering this scenario and
worldwide approach towards arbitration proceeding, India
legislature has taken measures to develop arbitration institutions
by amending the present act.
