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ADOPTION BY INDIA OF THE UNITED NATIONS COMMISSION ON INTERNATIONAL TRADE LAW MODEL LAW OF 1985. PT.-1

Adoption by India of the United Nations Commission on International Trade Law Model Law of 1985. Pt.-1

The Asian African Legal consultative committee, also known as the AALCC constituted 32 members in all which included India. At the AALCC's meeting which was held at Kuala Lumpur, Malaysia from 30 June to 5 July in 1976, its members promulgated over the UNCITRAL Arbitration Rules that had previously been approved by the Commission, and subsequently invited UNCITRAl ( United Nations Commission on International Trade Law) to consider the possibility of possibly preparing a protocol that can be used to annex to the New York Convention of 1958, and also, subsequently, the chance of developing a new international convention or a uniform law of arbitration which would include international commercial arbitration. Later on, the AALCC was of the unanimous view that it would in the interest of international commercial arbitration if UNCITRAL initiated steps for the establishment of uniform and conventional standards and metrics of arbitral procedures and that the preparation of a model law on arbitration was the most satisfactory and adequate manner to achieve the desired uniformity. The Commission, later on, agreed that there was no prior need to revise the New York Convention or adopt a new protocol for it, but that it would be advisable to prepare a model arbitration law which would be beneficial in assisting states in reforming as well as modernizing their respective laws and to this particular end the Commission implored the secretariat to prepare in requisite consultation with interested international organizations, specifically the Asian African Legal Consultative Committee (AALCC) and the International Council for Commercial Arbitration (ICCA) which was to act as a preliminary and initial draft of a particular "Model Law on Arbitral Procedures". It was henceforth decided that the draft should ultimately be restricted solely to international commercial arbitration and shouldn't attempt to deal with domestic arbitration, and it should also take into account the provisions of the New York Convention of 1958 as well as the UNCITRAL's Arbitration Rules.

The Commission eventually decided that in order to proceed to draft a working model law and to be able to entrust the task to its already existing Working Group on International Contract Practices. It implored the secretariat to prepare background studies and a draft text which would assist the Working Group. Eventually, the draft text of the Model Law was developed, wherein India's representative stated that India was satisfied with the draft text, but that it shouldn't be discussed by the Commission in plenary meetings since member states were prone to more broadly represented at these very meetings. The draft text of the Model Law on International Commercial Arbitration was then eventually transmitted to all governments, as well as interested international organizations, for their own comments and remarks. Later on, in the Summary report of the proceedings of 3 June 1985, India's representative stated that his own country's participation in the work of a model law on International Commercial arbitration was in the best spirit of its own constitution which was the commendable Constitution of India 1950 which he referred to in which there was the inclusion of the Directive Principles of State Policy which in turn called for international disputes to be eventually settled by arbitration.

Source: The Arbitration Series Volume One- Harmony amidst Disharmony: the Indian Framework- Fali S Nariman

  • AALCC
  • UNCITRAL
  • Working Group

BY : Kabir Dev

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