Page 48 - Quick Insights Book 2022

Arbitration 10

ARBITRATION, MEDIATION AND CONCILIATION

Arbitration, by its very nature, is meant to be an alternative to
courts and a speedier remedy for dispute resolution. Almost all
disputes whether Commercial, Civil, Labour, Family, etc., can be
settled through Arbitration, Mediation and Conciliation.

The Alternate Dispute Resolution process has been proven
to work in the business environment, especially in respect
of disputes involving joint ventures, construction projects,
partnership differences, intellectual property rights, etc.

PROFESSIONAL OPPORTUNITIES UNDER
ALTERNATIVE DISPUTE RESOLUTION

Section 2(2)(iv) of the Chartered Accountants’ Act, 1949 read
with Regulation 191 of the Chartered Accountants’ Regulations,
1988 specifically provides that a Chartered Accountant in his
professional capacity is allowed to act as an Arbitrator.
Chartered Accountants with their objective, independent and
balanced approach to a problem can be ideally placed to act as
arbitrators or conciliators and play a mediator’s role in resolving
conflict situations between partners, business associates,
employers and employees etc.

THE REGULATORS – INDIAN COUNCIL OF
ARBITRATION (ICA) INDIAN COUNCIL OF
ARBITRATION (ICA)
ICA is registered under the Societies Registration Act, 1860.
It was established in 1965 as a specialized arbitral body at
the national level with the initiatives of the Govt. of India and
apex business organizations like FICCI etc. Based in New
Delhi, the main objective of ICA is to promote amicable, quick
and inexpensive settlement of commercial disputes by means
Arbitration of arbitration, conciliation, regardless of location. This is a
specialized arbitral body, sponsored by Government of India and
certain apex business organizations, also recognize Chartered
Accountants as arbitrators.
A Chartered Accountant having 15 years of post-professional
experience is eligible for empanelment as an arbitrator with ICA.

METHODS UNDER ARBITRATION
Any dispute is normally resolved by way of litigation in court
or through Alternative Dispute Resolution [ADR] mechanism
involving four methods:

• Negotiation – no outsiders are involved to resolve the
disputes

• Mediation – facilitator creates ‘win-win’ situation but the
settlement is not binding

Quick Insights on Professional Opportunities for Chartered Accountants 35