For dispute resolution in India, Foreign businesses have several options for dispute resolution, ensuring they can address conflicts efficiently and effectively.

• Litigation in India involves taking disputes to the courts, where cases can be adjudicated by judges. The Indian judicial system includes specialized tribunals, such as the National Company Law Tribunal (NCLT), which expedite business-related disputes. While litigation can be lengthy and costly, the establishment of fast-track courts aims to mitigate these challenges and provide quicker resolutions for business disputes​​.
• Arbitration is a preferred method for many foreign companies due to its efficiency and confidentiality. The Arbitration and Conciliation Act of 1996 ensures that if a valid arbitration agreement exists, courts will refer the matter to arbitration. Additionally, arbitral tribunals can now grant interim reliefs enforceable as court orders, enhancing the effectiveness of arbitration​.
• Mediation is increasingly becoming popular, especially with the introduction of the Mediation Act 2023. This act mandates that commercial disputes go through mediation before proceeding to litigation. The process, which can last up to 180 days (extendable by mutual agreement), aims to provide a binding and enforceable settlement. The act also emphasizes confidentiality and sets up a Mediation Council to regulate and authorize mediators, thus ensuring professional standards are maintained​​.

For dispute resolution in India, foreign businesses can leverage these structured and evolving mechanisms to manage conflicts effectively, ensuring their operations remain smooth and legally compliant.