In a bid to boost the confidence of foreign investors about India's commitment to adhere to international practice on alternative dispute resolution, the Union Cabinet on Wednesday approved the signing of the United Nations Convention on International Settlement Agreements (UNISA) by New Delhi.
The convention will be signed either in Singapore on August 7 or at United Nations headquarters.
According to an official statement, signing of the convention will boost the confidence of the investors and will provide a positive signal to foreign investors about India's commitment to adhere to international practice on alternative dispute resolution (ADR) mechanism.
The United Nations General Assembly adopted the United Nations Convention on International Settlement Agreements Resulting from Mediation on December 20, 2018.
The General Assembly authorised that the Convention will open for signature at a signing ceremony to be held on August 7 this year in Singapore and will be known as the "Singapore Convention on Mediation".
The Convention provides a uniform and efficient framework for the enforcement of international settlement agreements resulting from mediation and for allowing parties to invoke such agreements, akin to the framework that the Convention on the Recognition and Enforcement of Foreign Arbitral Awards (New York, 1958) provides for arbitral awards.
The Convention defines two additional grounds upon which a court may, on its own motion, refuse to grant relief. Those grounds relate to the fact that a dispute would not be capable of settlement by mediation or would be contrary to public policy, the statement said.
Deccan Herald is on WhatsApp Channels | Join now for Breaking News & Editor's Picks