By Sobiya Manzoor Pullo
The judiciary in Jammu and Kashmir is currently grappling with a substantial backlog of commercial cases, which has resulted in prolonged delays, impeding the resolution of business disputes in the region. This growing accumulation of pending cases, especially those tied to financial transactions, property disputes, and contractual issues, can take years to resolve. Limited judicial resources, procedural complexities, and an overburdened system collectively contribute to these delays, creating an environment where business operations and investments are frequently hindered by uncertainty and financial losses. This inefficiency within the commercial judiciary impacts not only individual litigants but also the larger economic ecosystem, as unresolved disputes deter potential investors and slow regional development. With Jammu and Kashmir focusing on strengthening its business environment, tackling this issue through alternative dispute resolution (ADR) mechanisms, such as arbitration, offers a practical and timely solution for the commercial sector.
Arbitration presents a distinct advantage over traditional court proceedings in terms of both speed and outcomes. Court cases in Jammu and Kashmir, much like in other regions, often stretch on for years due to procedural delays and the extensive backlog. Arbitration, however, is generally more streamlined, allowing parties to reach a conclusion within a mutually agreed-upon timeline. This process bypasses many of the rigid procedural requirements typical of court litigation, offering more flexibility and adaptability for those involved. Furthermore, parties in arbitration can select arbitrators with specific expertise relevant to the dispute, often resulting in decisions that are commercially practical and aligned with industry realities. Unlike court judgments, which may undergo multiple levels of appeal, arbitration awards are usually final and binding, leading to quicker enforcement and providing parties with a greater sense of certainty. These advantages make arbitration a particularly favourable option in regions like Jammu and Kashmir, where judicial delays pose a considerable challenge for commercial dispute resolution.
Incorporating a strong arbitration framework in Jammu and Kashmir could yield substantial benefits for both businesses and the local economy. By offering a faster, more efficient alternative to litigation, arbitration minimizes disruptions to business operations, allowing companies to focus on growth and expansion rather than becoming entangled in lengthy legal battles. The ability to resolve disputes swiftly also reduces legal costs, freeing up resources that businesses can invest in their core activities. Additionally, a dependable arbitration system has the potential to attract greater investment by assuring investors that disputes will be handled promptly and equitably. For a region aiming to enhance its economic appeal, establishing a reliable arbitration framework could significantly boost investor confidence, drawing both domestic and international investments. This, in turn, would drive job creation, stimulate economic growth, and elevate overall business confidence. Additionally, a robust arbitration system would alleviate pressure on the courts, allowing the judiciary to allocate its resources more effectively toward cases that genuinely require formal adjudication. Therefore development of a comprehensive arbitration framework represents a strategic approach to foster economic growth and position Jammu and Kashmir as a more business-friendly, competitive region.
In recent years, an encouraging shift has been observed in the judiciary’s approach in Jammu and Kashmir, with Judges increasingly acting as mediators and arbitrators to expedite dispute resolution. Recognizing the strain of high caseloads and the lengthy litigation process on the parties involved, Judges are taking proactive steps to resolve disputes swiftly. Instead of adhering rigidly to procedural formalities, these Judges focus on achieving mutually agreeable outcomes that prioritize timely justice for litigants. This hands-on, pragmatic approach has proven effective, as a significant number of cases have reached settlement when judges have taken an active role in mediation and arbitration.
However, for this model to succeed widely, lawyers in the region also play an essential role. Advocates are instrumental in shaping the trajectory of litigation and can guide clients towards amicable settlements over extended court battles. By promoting peaceful resolution in commercial disputes, lawyers can help clients avoid the financial, emotional, and temporal costs associated with prolonged litigation. This shift in focus not only aligns with clients’ best interests but also enhances lawyers’ professional reputation by positioning them as facilitators of efficient and client-focused dispute resolution. Lawyers who embrace this approach are likely to attract more clients, as they become known for saving clients valuable time and resources.
To instill this shift as a core practice, it is essential to emphasize the principles and techniques of arbitration, mediation, and other forms of ADR within legal education and professional development in Kashmir. Organizing workshops, seminars, and incorporating ADR practices in law school curricula would create a new generation of lawyers who are oriented towards practical and timely dispute resolution. These educational efforts would not only benefit clients and lawyers but also contribute to a more streamlined judicial system, allowing the courts to focus on cases that require formal judicial intervention.
It is crucial to organize workshops to educate lawyers in Jammu and Kashmir on the benefits and practical applications of arbitration, making it as accessible across the valley as it is in other parts of the world. Although there is an arbitration centre in Kashmir, it remains largely inactive, rendering it almost non-existent in practice. Revitalizing this centre is essential to provide a viable alternative to traditional litigation, allowing people to resolve disputes efficiently and enjoy the rewards of their hard work without the prolonged drain of courtroom battles. After enduring the hardships of unrest and the pandemic, the people of Jammu and Kashmir deserve a chance to see hope and progress at least in the resolution of their disputes.
Ultimately, fostering a legal culture that values ADR and pragmatic dispute resolution in Kashmir could revolutionize the handling of commercial disputes, offering long-term benefits to the judicial system, the economy, and the individuals and businesses they serve.
Views expressed in the article are the author’s own and do not necessarily represent the editorial stance of Kashmir Observer
- The author is a Lawyer/PhD Scholar
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