Chief Justice of India Surya Kant has called for a sustained institutional partnership between India and Germany to strengthen commercial arbitration and create a more dependable framework for resolving cross-border business disputes.
Addressing the inaugural Indo-German Arbitration Conclave in Berlin, organised around the theme “Exploring Bilateral Avenues for Efficient Commercial Disputes Resolution”, Justice Kant said commercial disputes are an inevitable part of growing economic relationships. The real test of a mature legal system, he observed, is its ability to resolve such disputes efficiently while preserving the underlying commercial relationship between the parties.
The Chief Justice emphasised that arbitration should not be viewed merely as a procedural mechanism incorporated into commercial contracts. Instead, he described it as a deliberate choice by businesses in favour of neutrality, flexibility and legal certainty.
Beginning his address with “Good morning, and Guten Morgen,” Justice Kant highlighted what he described as a shared appreciation for precision in India and Germany. He noted that Germany’s reputation for precision is reflected in its manufacturing, intellectual and cultural traditions, while India’s own history demonstrates similar achievements in mathematics, astronomy and architecture.
“When two nations that each prize precision in their own idiom sit down to design dispute resolution together, something durable tends to get built,” he said.
Justice Kant pointed to the expanding economic relationship between India and Germany, noting that increasing investment and business activity between the two countries have resulted in increasingly sophisticated commercial arrangements. These include supply chains, infrastructure projects, technology collaborations and joint ventures, all of which can give rise to complex contractual disputes.
Against this backdrop, he stressed that businesses require dispute-resolution mechanisms that are efficient, predictable and capable of dealing with complex cross-border matters.
Referring to India’s arbitration reforms, the CJI highlighted successive amendments to the Arbitration and Conciliation Act, 1996, in 2015, 2019 and 2021. According to him, these reforms have sought to reduce unnecessary judicial intervention, improve procedural efficiency and promote institutional arbitration.
He further observed that Indian courts have increasingly reinforced party autonomy while retaining limited supervisory powers where judicial intervention is necessary. The broader direction of Indian arbitration, he said, remains focused on efficiency, institutionalisation and minimal judicial interference, while acknowledging that developing strong arbitral institutions is a gradual process.
Justice Kant also referred to Germany’s experience with the German Arbitration Institute (DIS), noting its established role in effective case administration and its emphasis on party autonomy. He pointed to the institution’s experience in handling complex disputes involving engineering, manufacturing and infrastructure.
To develop the bilateral arbitration dialogue into a lasting institutional partnership, the Chief Justice proposed a four-part framework.
The first pillar is institutional cooperation. Justice Kant suggested structured partnerships among leading arbitral institutions, including the India International Arbitration Centre in Delhi, the Mumbai Centre for International Arbitration, the Nani Palkhivala Arbitration Centre and the DIS. Such cooperation could include joint programmes, institutional exchanges and continuing professional engagement.
The second pillar is capacity building. He emphasised the need to develop arbitrators who combine strong legal expertise with a detailed understanding of commercial realities and the industries in which disputes arise.
The third pillar is judicial dialogue. According to Justice Kant, regular interaction between the judicial and legal communities of India and Germany could contribute to greater predictability on issues such as interim measures, enforcement of arbitral awards and the scope of the public policy exception under the New York Convention.
The fourth pillar focuses on technology and transparency. The Chief Justice advocated greater use of virtual hearings, digital case-management systems and electronic evidence to reduce costs and procedural delays, while ensuring that fairness and due process remain central to arbitration proceedings.
Justice Kant said the effectiveness of arbitration ultimately depends on trust. Institutions, arbitrators, lawyers and courts must collectively command the confidence of businesses if arbitration is to fulfil its role as an effective mechanism for resolving commercial disputes.
Thanking the German Federal Bar and the German Chamber of Commerce and Industry for their cooperation, the Chief Justice said the Berlin conclave should not be viewed as an isolated event. He expressed hope that the initiative would help establish a durable arbitration bridge between India and Germany, supporting the countries’ expanding commercial relationship and giving businesses greater confidence in resolving cross-border disputes.
