The Ministry of Law and Justice, Department of Legal Affairs has issued a notification on 22nd February 2023 regarding the India International Arbitration Centre (IIAC). According to the notification, the undertakings of the International Centre for Alternative Dispute Resolution (ICADR) related to the Society, and the right, title, and interest of the Society in such undertakings have been transferred to and vested in the Central Government under Section 7 of the India International Arbitration Centre Act, 2019.
In June 2022, the Government of India in the Ministry of Law and Justice had already established the IIAC under sub-section (1) of section 3 of the said Act, as notified in the Gazette of India, Part-II, Section 3, Sub-section (ii), vide notification number S.O. 2717(E). Now, under the powers conferred by sub-section (1) of section 10 of the said Act, the Central Government directs that the undertakings and the right, title, and interest of the ICADR in relation to such undertakings, which had vested in the Central Government under section 7 of the said Act, shall vest in the IIAC from the date of publication of the notification in the Official Gazette.
The IIAC is an autonomous institution that aims to provide world-class infrastructure for arbitration, mediation, and conciliation services in India. It will facilitate the conduct of international and domestic arbitrations and other alternative dispute resolution mechanisms in a fair, efficient, and cost-effective manner. The IIAC will work towards making India a hub for arbitration in the Asia-Pacific region and promote the development of arbitration and other alternative dispute resolution mechanisms in the country.
The transfer of undertakings and rights from ICADR to IIAC is a significant step towards achieving the objectives of the India International Arbitration Centre Act, 2019. The IIAC will now have access to the resources and infrastructure of ICADR, which will aid in the effective functioning of the institution. The IIAC will continue to work towards its vision of promoting alternative dispute resolution mechanisms in India and making the country a preferred destination for resolving commercial disputes.
In conclusion, the notification issued by the Ministry of Law and Justice regarding the transfer of undertakings and rights from ICAD to IIAC is a positive development towards the establishment of an effective and efficient arbitration institution in India. The IIAC will now be better equipped to provide world-class arbitration, mediation, and conciliation services in the country and contribute to the growth of alternative dispute resolution mechanisms in India.