Alternative Dispute Resolution: Mediation

Alternative Dispute Resolution (ADR) provides an efficient, non-confrontational alternative to traditional litigation, using methods such as mediation, arbitration, and adjudication to resolve disputes. Mediation, in particular, stands out as a flexible and cost-effective solution, fostering open communication and cooperation between parties. The growing complexities in international trade, coupled with the rise of specialized sectors like e-commerce, have underscored the need for efficient dispute resolution mechanisms. For Pakistan, a robust legal framework supporting mandatory mediation is vital for fostering trust among both local and foreign investors while ensuring that commercial disputes are resolved swiftly and cost-effectively. Pakistan’s judicial system has recognized its importance in commercial and corporate matters. The Supreme Court has increasingly endorsed mandatory mediation to reduce the burden on the judiciary and encourage quicker settlements. Additionally, Pakistan’s potential accession to the Singapore Convention on Mediation would provide a globally recognized framework for enforcing mediated settlement agreements, further enhancing Pakistan’s attractiveness to international investors. The Singapore Convention, ratified by key trading partners like Qatar, offers Pakistan a strategic advantage in promoting international trade while ensuring that it can include necessary reservations, such as those concerning national security, to safeguard state interests.