The Parliament gave its nod to the Arbitration and Conciliation (Amendment) Bill, 2021 with Rajya Sabha passing it yesterday.
The Upper House cleared the bill amid protest by Opposition parties including Congress, DMK and NCP over the issue of farm laws.
The Lok Sabha has already passed the bill last month.
The legislation seeks to amend the Arbitration and Conciliation Act, 1996.
The Act contains provisions to deal with domestic and international arbitration and defines the law for conducting conciliation proceedings.
The Bill replaces an Ordinance with the same provisions promulgated on 4th November, 2020.
It contains provisions to deal with domestic and international arbitration.
Replying to the discussion on the Bill, Law Minister Ravi Shankar Prasad said that India wants to be an excellent hub for the arbitration and the Narendra Modi government will make India a big hub for domestic and international arbitration.
He said, freedom must be given to the domestic and international arbitrators to make the process easier so that the country can move towards the path of economic development.
He asserted that India respects the honest process and the government is committed to bring transparent mechanisms in every sphere of governance.
Mr. Prasad said, the legislation seeks to ensure that all stakeholders get an opportunity to seek an unconditional stay on enforcement of arbitral awards where the arbitration agreement or contract is induced by fraud or corruption.
He said, the bill also aims at giving greater flexibility to the Arbitration Council of India and helping in promotion of institutional arbitration.