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Dimensions of Online Arbitration in India

source : Chenoy Ceil, Calcutta High Court; Delhi University Enclave - Campus Law Center

Abstract:
The rapid expansion of commercial transactions and globalization has given rise to spiraling growth in arbitration at the national as well as international stages. Arbitration is one of the modern techniques of alternative dispute resolution (ADR) that has gained a lot of prominence due to the freedom it offers to the disputants. Online Arbitration is a mixture of conventional Arbitration under Arbitration & Conciliation Act 1996, combined with technological features requiring application of Information Technology Act 2000. This paper looks at the dimensions of online arbitration in India along with the difficulties, advantages and legal complexities that this form of dispute resolution entails. The future of arbitration is online arbitration if India wants to cut down on its ever increasing backlog of cases and this form of ADR would allow quick settlements to international as well as domestic business entities.

Introduction
The formal legal system is ill-equipped to handle the insurmountable arrears of disputes that continue to plague the legal system in India. The idea of arbitration was to ease the process of access to justice as reported by several expert bodies1. The first instance of arbitration in India was The Bengal Regulation Act, 1772 that introduced the role of arbitrators in dispute resolution. Since then arbitration has undergone a lot of developments in India with the introduction of the The Arbitration Act, 1940 which repealed the Arbitration Act 1899 and finally the formation of the Arbitration and Conciliation Act, 1996. Today, arbitration has developed further and a new form of arbitration has come to the fore which is known as online arbitration.

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