- Singapore Convention on Mediation (Convention) has entered into force, marking a significant development in international commercial dispute resolution.
- Businesses in India and around the world will now have greater certainty in resolving cross-border disputes through mediation, as the Convention provides a more effective means for mediated outcomes to be enforced.
- The Convention, also known as the United Nations (UN) Convention on International Settlement Agreements Resulting from Mediation, is the first UN treaty to be named after Singapore.
- As of September 1, 2020, the Convention has 53 signatories, including India, China, and the United States.
- Ecuador is the most recent country to ratify the Convention, joining Singapore, Fiji, Qatar, Saudi Arabia and Belarus, and bringing the number of countries who have ratified the Convention to six.
- The conciliatory nature of mediation also helps to preserve commercial relationships despite the disputes.
- Can do so by applying directly to the courts of countries that have signed and ratified the treaty, instead of having to enforce the settlement agreement as a contract in accordance with each country’s domestic process.
- The harmonised and simplified enforcement framework under the Convention translates to savings in time and legal costs, which is especially important for businesses in times of uncertainty, such as during the current COVID-19 pandemic.
- Over the years, Singapore has set up various institutions, including
- the Singapore International Arbitration Centre,
- ercial Court to provide a full suite of dispute resolution services for international commercial parties to resolve their disputes in Singapore.
- The Convention opened for signature at a signing ceremony on August 7, 2019, and 46 countries signed the Convention.
- The number of first-day signatories was among the highest for any UN trade convention, reflecting international recognition and support of the Convention’s benefits.
