Singapore Convention on settlement arising from mediation signed by Brazil
On June 4, 2021, Brazil signed the Singapore Convention on Mediation, also known as the “Singapore Convention, “which provides a consistent framework for settlement agreements put in writing resulting from mediations entered in one among the contracting states. Under the Singapore Convention, a party can enforce such settlement agreements within the courts of any contracting state, as long as the settlement agreement was issued therein or in another contracting state. This Convention is applied to international settlement agreements that are concluded in writing arising from mediation within international trade disputes. It is a world instrument that aims to market certainty and stability to disputes resulting from international commerce.
The courts of a contracting state may only refuse to grant relief supported the settlement agreement in limited circumstances, like if:
(i) a party to the settlement agreement was under incapacity
(ii) the settlement agreement wasn't binding, null and void, inoperative, or incapable of being performed under the law to which it's subjected
(iii) there was a significant breach by the conciliator of standards applicable to the conciliator, without which breach that party wouldn't have entered into the settlement agreement
(iv) the settlement agreement has already been performed or modified
(v) granting relief would be contrary to the general public policy of the contracting party or
(vi) the topic matter of the dispute isn't capable of settlement by mediation under the law of that party.
The Singapore Convention doesn't apply to settlement agreements concluded for private, family, or household purposes by one among the parties, also as settlement agreements concerning family, inheritance, or employment law. It doesn't apply either to settlement agreements that are enforceable as a judgment or an arbitral award.
The Singapore Convention aims to foster mediation on disputes associated with international trade because the parties will be ready to invoke the settlement agreement so reached in other jurisdictions. Within the medium and end of the day, the Singapore Convention is predicted to possess a positive effect on mediation, almost like the one that the 1958 New York Convention had on international arbitration.
To become a part of the Brazilian legal framework, the Convention still got to be approved by the Brazilian Congress and be ratified by the President. The Brazilian Congress still has got to approve the Singapore Convention, which may take a while.
However, the signing of the Convention may be a step towards adopting a more straightforward method of resolving trade disputes.
(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 Foundation shall not be responsible for any errors caused due to human error or otherwise.)