Consensual dispute resolution clause a need for effective enforcement mechanism in Pakistan

Abstract

Consensual dispute resolution mechanisms are widely used all over the world today and have become increasingly popular in Pakistan. Although academic and literary work in Pakistan on this area of law is deficient, the legislature has taken a big leap by enacting the Alternate Dispute Resolution Act, 2017. While this Act is a breakthrough paving way for use of consensual dispute resolution processes, certain essential steps are required to be taken for effective implementation and enforcement these processes. This thesis has identified the problems in implementation and enforcement of consensual dispute resolution clauses and has addressed how these problems may be handled. This discourse further goes on to explore how reformations in implementation of consensual dispute resolution processes are directly related to enforceability of consensual dispute resolution clauses. This thesis concludes with the suggestions; firstly that the consensual dispute resolution processes may be effectively enforced if they are institutionalized, regularized and the processes are structured through legislation in accordance with international practices. Secondly, consensual dispute resolution clauses also need to be developed and drafted in such a way as to make mandatory for parties to enter into consensual dispute resolution before invoking the arbitration clause or filing a law suit.