The Role Of Mediation In Resolving Commercial Disputes: A Comparative Analysis

Satakshi Raj, BA LL.B (H), Amity Law School, Noida, Amity University Uttar Pradesh

ABSTRACT

Mediation has emerged as a prominent alternative dispute resolution (ADR) mechanism, particularly in the realm of commercial disputes, offering parties a voluntary and confidential process guided by negotiation principles. This paper provides a comparative analysis of mediation practices across various jurisdictions, highlighting their significance, challenges, and future directions.

The research explores the suitability of disputes for mediation, emphasizing factors such as party willingness, nature of the dispute, availability of information, timing, and complexity. It underscores mediation's role in preserving business relationships, cost-effectiveness, efficiency, flexibility, confidentiality, and empowerment of parties.

A comparative analysis examines mediation practices in common law and civil law jurisdictions, along with insights from India, Lebanon, and Nigeria. Challenges including cultural and legal barriers, the enforceability of settlements, mediator quality, cost, and public perception are identified. Proposed future directions include legislative reforms, professionalization, promotion campaigns, technology integration, and research initiatives.

Legislative frameworks supporting mediation in India, such as the Commercial Courts Act of 2015 and provisions under the Code of Civil Procedure 1908 and Arbitration and Conciliation Act 1996, are analyzed. The paper concludes by emphasizing the growing acceptance of mediation in Nigeria, fueled by legislative reforms and institutional support, with recommendations for further training and awareness initiatives.

Keywords: Alternative dispute resolution, Code of Civil Procedure, Legislative framework, Arbitration and conciliation act, technology integration, Commercial Courts Act