From Statute to Dead Letter: Section 31A and the High Court Culture of Zero-Cost Orders
TrustBridge Dispute Resolution Dialogues No. 6
Speakers: Dr. Prashant Narang, Deputy Director of Research and Programs at TrustBridge Rule of Law Foundation & Dharmendra Chatur, Partner at Poovayya & Co.
Date: July 25, 2025
Time: 4:30 PM - 5:30 PM IST
Format: Hybrid (in person/ online)
The event is open to all interested, but registration is mandatory. Please register at this link.
Abstract:
This talk, the sixth in the series of Dispute Resolution Dialogues at TrustBridge, will explore the application of Section 31A of the Indian Arbitration and Conciliation Act, 1996, which provides clear rules for cost-shifting in arbitration-related proceedings.
The speakers will investigate the disconnect between statutory intentions and judicial practice, particularly in the Bombay High Court. Despite the statute's aim to apply the "loser-pays" rule, costs are rarely imposed, with only 3.9% of 102 arbitration-related decisions in 2023-24 from the Bombay High Court including cost-shifting. In line with this, the speakers will explore the inefficiency of the cost regime, its failure to deter frivolous claims, and the lack of structured reasoning in cost decisions.
About Dispute Resolution Dialogues:
The TrustBridge Dispute Resolution Dialogues is a series of conversations dedicated to exploring key legal and policy challenges shaping the landscape of arbitration and dispute resolution.
As part of this initiative, we engage with experts and practitioners to foster deeper discussions on critical issues at the intersection of law, policy, and practice.
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