Strengthening Arbitration in Maharatna CPSEs Challenges Faced and Initiatives Required

Abstract

Justice dispensation system is facing challenge due to high cost and delays in the disposal newlineof court cases. Accordingly, Alternate Dispute Resolution (ADR) mechanisms, like newlinearbitration, conciliation and mediation were introduced to rescue the condition of the newlinelitigants worldwide, wherein arbitration is more alike the court litigation, however, unlike newlinecourt litigation, arbitration is cost-effective, speedy and flexible. newlineIt is pertinent to note that no method is flawless and obviously, arbitration is not an newlineexception to this general rule. Over the years, there has been a lot of criticism regarding newlinearbitration mechanism that it has subsumed most of the negative traits of court litigation newlineand has failed to be an alternative but turned out to be a precursor to the court litigation. newlineThere has been no doubt that arbitration has a potential to reduce the caseload of the courts newlineand provide an effective mechanism of dispute settlement. newlineFurther, it has always been highlighted in various case laws and reports that Government newlineand its various agencies are pre-dominant litigants in India and overloading the courts. In newlinefact, the disputes are inevitable for these Government agencies or undertakings, as they are newlinecommercial entities involved in huge infrastructure and growth projects involving newlineexorbitantly high stakes. Therefore, the present research is focussed on the Maharatna newlineCentral Public Sector Enterprises (CPSEs) who are the top most Government entities in newlineIndia engaged in different industries like, Oil and Gas, Power, Coal, Steel, etc. newlineKeeping into consideration the above facts, the present research has been undertaken on this newlinebasic premise that since arbitration mechanism is mostly controlled by the parties, most of newlineits shortcomings must be also linked with the parties internal practices, policies and newlineprocedures. Thus, there is a need to identify those shortcomings, so that suitable solutions newlinecan be explored to effectively deal with this mechanism. Thus, it is important to focus on inhouse newline Arbitration Management of these