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The Role of UNCITRAL in the World of ADR

 With the world growing smaller in terms of trade and business interactions, it is only natural that the existence of disputes would arise given that different procedures and laws are governing the process included within the trade and business deals, which are respective to the parties and their countries’ laws regarding the matter. In 1966, the need for a body of unification was felt, which would focus not only on harmonizing the process of international trade and business but also govern the procedure surrounding it, the United Nations Commission on International Trade Law (UNCITRAL) was established keeping these goals in target, to improve the process and procedure involved in international trade and business deals.


Key features of UNCITRAL

  • It aims to govern the basic international commercial transactions
  • The commercial regulation transaction has been facilitated by creating a system of rules and laws which are acceptable and applicable globally
  • UNCITRAL and the laws mentioned under the model are always subject to renewal and amendment as the ever-changing society and nature of business interactions calls for modern governance
  • UNCITRAL not only encourages the adoption of a common legal standard among international transactions but also aims to modify domestic laws to enable cross-country trade and transaction
  • UNCITRAL has smoothened international commercial law by encouraging alternative dispute resolution, encouraging the countries to follow international contract practices and such other practices.
  • The goal of international commercial transactions to operate smoothly is encouraged more so by coordinating with which different bodies (in and out of the UN structure) interact to promote consistency and harmony further.


Impact of UNCITRAL

In the process of smoothening international commercial transactions, the UNCITRAL model also has its own set of rules and applications to allow the parties to have dispute resolution using arbitration. These rules govern the basic structure of arbitration, embracing aspects like the appointment of arbitrators, the manner to carry on the proceedings, and the intricacies involved in giving arbitral awards. The rules on arbitration as per the model are incredibly significant, and the fact that over 60 countries in the world have participated annually ever since the conception of this model only means that not only does it help in international commercial transactions but also has popularised the concept of alternative dispute resolution as it also encourages processes like conciliation and mediation.



The encouragement of other modes of alternative dispute resolution such as conciliation and mediation is a relatively new concept that UNCITRAL has promoted. Nevertheless, such motivation does not only ease the process of dispute resolution but also gives countries a chance at a more cost-effective means of solving any quarrels that may arise without getting involved in the hassle of going to courts to gain justice.


This Article Does Not Intend To Hurt The Sentiments Of Any Individual Community, Sect, Or Religion Etcetera. This Article Is Based Purely On The Authors Personal Views And Opinions In The Exercise Of The Fundamental Right Guaranteed Under Article 19(1)(A) And Other Related Laws Being Force In India, For The Time Being. Further, despite all efforts made to ensure the accuracy and correctness of the information published, White Code VIA Mediation and Arbitration Centre shall not be responsible for any errors caused due to human error or otherwise. 

  • Background of UNCITRAL
  • Ket Features
  • Impact on ADR & Conclusion

BY : Saloni Shukla

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