Arbitration in India is increasingly mirroring court proceedings and that raises concerns that it may be undermining its original purpose as a faster and cost-effective alternative to litigation, Supreme Court Justice Manmohan recently said.
He said that the manner in which arbitral proceedings are conducted has led to this problem.
"I think the legal community must debate whether the arbitral system, which was supposed to be a solution to the problem, has itself become a problem. And has it become a problem only because of the way we are conducting arbitral proceedings? Why has it become a replica of proceedings conducted in court?” he asked.
Arbitral proceedings were meant to be informal and inexpensive, he added.
“It was supposed to be an informal process. Were we supposed to mark documents in arbitral proceedings when no one is disputing the validity of those documents? It was supposed to be informal. It was supposed to be inexpensive. It was supposed to have sensitivity. I think we have taken out the sensitivity aspect from arbitration,” he opined.
He was speaking at the Legal Conclave & Awards Ceremony 2026 organised by the Society of Indian Law Firms (SILF) and the Society of Legal Professionals (SLP).
Justice Manmohan said that concerns around the justice system must be viewed as part of reform.
“When you highlight the shortcomings in the system, you do so only to improve the system, not to condemn it,” he said.
He also emphasised the need for greater engagement with academia and global legal discourse, noting that legal systems across jurisdictions are grappling with similar challenges including the impact of technology and evolving judicial roles.
On dispute resolution, Justice Manmohan underscored the effectiveness of mediation.
“When you resolve matrimonial matters, you do not resolve just one family dispute. You resolve at least ten or twelve proceedings,” he said.
He further observed that technology must remain an enabler and not replace human decision-making and ultimate decision must rest with the human mind.
Additional Solicitor General Chetan Sharma, who also spoke at the event, noted the scale of pendency in India and called for greater reliance on mediation and other consensual mechanisms.
Lalit Bhasin, Chairman of the Conclave and President of SILF, also highlighted the need to make justice more accessible and affordable and flagged concerns over rising arbitration costs.
The event also featured the release of a book titled Economic Justice and Public Finance for Social Change: An Appraisal in the light of Dr Ambedkar’s Vision, edited by Prof. (Dr.) Vijay Kumar Singh.
A segment of the conclave titled “Recognising Nari Shakti – Women Power” honoured women heading leading law firms in India who were presented plaques of honour for their leadership and contribution to the legal profession.
The conclave concluded with an awards ceremony recognising excellence across the legal profession.