India dispute resolution

Emerging priorities for India's dispute resolution ecosystem

How technology, institutional reforms and evolving user expectations are reshaping Alternative Dispute Resolution (ADR) landscape.


In brief

  • Survey reveals a growing preference for structured, institution-led ADR processes that balance flexibility with efficiency.
  • Technology is becoming integral to dispute resolution, supporting faster proceedings through digital tools and emerging AI applications.
  • While costs and delays remain concerns, reforms and institutional growth are creating opportunities to strengthen India's ADR ecosystem.

Amid today’s increasingly complex business landscape, the ability to resolve disputes efficiently has never been more important. Whether it is infrastructure projects, cross-border investments, energy transition initiatives or technology-driven business models, organizations are realizing the need for commercial dispute resolution mechanisms that can keep pace with the speed and scale of modern business expectations and timelines.

Alternative Dispute Resolution in India, particularly arbitration in India, is proving to be a strategic business tool rather than just an alternative to litigation. As ADR in India continues to evolve, organizations are seeking mechanisms that offer greater procedural certainty, faster outcomes, reduced disruption and stronger commercial value. At the same time, they are demanding a dispute resolution ecosystem that is technologically enabled, institutionally robust and aligned with global standards. These changing expectations are shaping the future of arbitration in India and driving interest in more structured dispute resolution frameworks.

EY and Aarna Law conducted a survey of 125 legal professionals to assess how the ADR landscape is evolving. The report, The next era of Alternative Dispute Resolution (ADR): Trends, challenges and opportunitiesexplores evolving user expectations, emerging trends, persistent challenges and the reforms that could shape the next phase of India's dispute resolution journey. It examines key trends shaping dispute resolution in India and the growing importance of institutional arbitration.

The findings reveal an inflection point in the Indian arbitration landscape for 2026. Stakeholders are increasingly gravitating toward structured, institutionally supported and hybrid ADR mechanisms that combine flexibility with procedural discipline. The debate around institutional versus ad hoc arbitration in India is becoming increasingly relevant as users prioritize consistency, transparency and enforceability. Technology is another defining force reshaping the arbitration ecosystem. From remote hearings and digital documentation to the early adoption of AI, arbitration technology is transforming how disputes are managed and resolved. 

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The report also identifies several areas that continue to influence confidence in arbitration and ADR. Enforcement of arbitral awards, cost management, procedural delays and institutional capability remain among the key challenges facing arbitration in India. Addressing these challenges will be critical to delivering outcomes that meet the expectations of domestic and international stakeholders. The report also assesses the impact of the Arbitration and Conciliation Act, 1996, in shaping the regulatory framework for commercial arbitration and cross-border dispute resolution in the country.
 

At the same time, ongoing arbitration reforms in India, growing institutional maturity, increasing acceptance of mediation and hybrid mechanisms and advances in technology are creating new opportunities to build a more sophisticated and globally competitive ADR ecosystem. The report highlights how initiatives such as the India International Arbitration Centre (IIAC), the growing prominence of domestic arbitral institutions, evolving judicial approaches and the wider adoption of technology can contribute to strengthening India's ADR landscape. It also explores how developments such as the Mediation Act, 2023 are supporting the future of ADR and mediation in India, along with institutional arbitration.
 

For business leaders, legal counsels, policymakers, arbitration practitioners and dispute resolution professionals, understanding these shifts is essential. The choices around institutional development, professional capability, technology adoption and user experience will influence whether India can emerge as a truly competitive global ADR hub. The report also highlights the growing role of arbitration experts and expert witnesses in addressing increasingly complex commercial and technical disputes.
 

The report offers a detailed analysis of stakeholder perspectives across these critical themes and provides valuable insights into the future of arbitration in India. It explores user preferences, institutional trends, technology adoption, sector-specific dispute drivers, enforcement challenges and the reforms required to strengthen confidence in the system. 

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Learn more about the emerging priorities shaping India's dispute resolution ecosystem

Summary

EY-Aarna Law survey report examines how dispute resolution in India is evolving amid changing business needs. It highlights growing reliance on arbitration, mediation and technology-enabled processes, while identifying concerns around enforcement, costs and delays. The study also explores reforms, institutional developments and emerging opportunities that could enhance India's standing in the global dispute resolution landscape.

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