New Delhi, March 7 The Union Cabinet on Wednesday approved a bill to encourage institutional arbitration for settlement of disputes.
The Arbitration and Conciliation (Amendment) Bill, 2018 -- which aims to make India a centre of robust Alternative Dispute Resolution (ADR) mechanism -- will now be introduced in parliament.
The government said the proposed amendments would make arbitration process more party-friendly and cost effective, and would improve institutional arbitration by establishing an independent body to lay down standards.
It would also ensure timely disposal of arbitration cases, it said.
The bill provides for creation of an independent body called the Arbitration Council of India (ACI) which will grade arbitral institution and accredit arbitrators by laying down norms and take necessary steps to encourage arbitration, conciliation and mediation.
The bill aims to facilitate speedy appointment of arbitrators through designated arbitral institutions, without having to approach the court.
"It is envisaged that parties may directly approach arbitral institutions designated by the Supreme Court for international commercial arbitration and in other cases the concerned High Courts," an official statement said.