New Delhi, March 6 -- Chief Justice of India D Y Chandrachud on Wednesday said that arbitrators' neutrality, independence and impartiality were "critical" to the entire process of arbitration and stressed the need to "actively strive for diversity and inclusion".
The CJI said arbitration as a dispute resolution mechanism has gained immense traction across the globe and there is a marked preference for international commercial arbitration to resolve cross-border disputes.
Speaking as the chief guest during the inaugural session of the Delhi Arbitration Weekend here, Justice Chandrachud noted that over 90 per cent of international commercial contracts contain arbitration agreements and this unparalleled growth is rooted in its ability to create a neutral forum that all parties involved are willing to accept.
"Indeed, the neutrality of arbitrators, their independence and impartiality is critical to the entire process," he said.
"Neutrality or the lack of bias is such a fundamental feature of international arbitration that most institutional rules require that the members of the arbitral tribunal not be of the same nationality as either party, unless agreed to the contrary," the CJI said.
He said the arbitral institutions may not pose any apparent or formal barrier to entry for people from across diverse communities, regions and genders, but in practice, "We have miles to go to ensure that our international arbitration community is inclusive".
The CJI batted for diversity in the process and said it ensures that individuals with varied backgrounds and life experiences are a part of the process.
Justice Judith Prakash, judge of the Supreme Court of Singapore, and Justice Manmohan, acting Chief Justice of the Delhi High Court, also addressed the gathering.
In his address, the CJI called for adopting new seats of arbitration to encourage it as an efficient dispute resolution mechanism.
"Arbitral institutions are in a unique position to foster cross-border training and advancement of international arbitration practices across various regions. To effectively promote this, they must contemplate establishing additional regional offices," he said.
Justice Chandrachud said this strategic expansion not only enhances diversity in arbitration seats but also assures stakeholders that consistent support will be extended across different geographical locations.
"Indian arbitrators are currently under-represented in international arbitrations, even those involving one or more Indian parties," he said, adding, "I understand that a group of counsel, arbitrators, academics and others involved in the practice of international arbitration intend to launch the India promise". Justice Chandrachud said going forward, he sees no reason why highly qualified Indian arbitrators cannot be appointed in disputes that do not involve Indian parties as well in the same way that experienced European arbitrators are often appointed in disputes that have no European connection.
Published by HT Digital Content Services with permission from Millennium Post.