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Why Arbitration is the Future of Dispute Resolution in Pakistan

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Disputes are inevitable in any business relationship. But going to court in Pakistan is often time-consuming, expensive, and uncertain. That’s why more businesses, contractors, and even government departments are turning to arbitration—a faster and more flexible way to resolve legal disputes.

At Anchan Law, we believe arbitration is not just an alternative; it’s the future of commercial justice in Pakistan. Here’s why arbitration is gaining momentum, and how our firm helps clients win their cases through this powerful legal tool.

What is Arbitration?

Arbitration is a private dispute resolution process where the parties agree to resolve their conflict outside of court. Instead of a judge, a neutral third party called an arbitrator listens to both sides and issues a binding decision.

It’s commonly used in:

  • Construction contracts
  • Government tenders (PPRA disputes)
  • Shareholder and joint venture agreements
  • Employment and franchise contracts
  • International commercial contracts (including FIDIC)

Why Arbitration is Growing in Pakistan

Court Delays: With Pakistan’s backlog of over 2 million cases, arbitration offers a quicker path to justice.

Confidentiality: Unlike court cases, arbitration is private—ideal for sensitive commercial matters.

Technical Expertise: Arbitrators often have industry-specific knowledge, which is especially important in engineering and construction disputes.

International Recognition: Arbitral awards are enforceable in over 160 countries under the New York Convention (ratified by Pakistan in 2005).

Amendments to Pakistani Arbitration Law: Recent judicial decisions and reforms have made arbitration more accessible and enforceable, encouraging foreign and local investors.

Arbitration in Construction Disputes – A Growing Need

Pakistan’s infrastructure sector is expanding fast, especially with CPEC, public housing schemes, and energy projects. With this growth comes conflict—often over delayed timelines, cost escalations, and scope changes.

At Anchan Law, we specialize in handling construction arbitration under FIDIC contracts, which are the global standard in engineering and infrastructure projects. We:

  • Draft arbitration clauses and notices
  • Represent clients in ad hoc and institutional arbitrations
  • Assist in enforcement of arbitral awards in Pakistani courts
  • Resolve disputes under PPRA and procurement laws

Whether it’s a road contractor, a government agency, or a subcontractor, we ensure our client’s rights are preserved and their claims are presented effectively.

Our Arbitration Services at Anchan Law

  • Drafting arbitration agreements and dispute resolution clauses
  • Pre-arbitration negotiations and mediation
  • Filing and responding to arbitration notices
  • Representing clients before arbitrators (domestic and international)
  • Challenging or enforcing arbitral awards under Pakistani law
  • Advising on interim relief, evidence, and expert witnesses

We have successfully represented clients in construction, tax, cyber, and commercial arbitration forums, including under:

  • UNCITRAL Rules
  • Pakistani Arbitration Act 1940
  • PPRA procurement disputes
  • Institutional rules (ICC, LCIA, etc.)

Why Clients Choose Anchan Law for Arbitration

Deep legal and technical expertise in FIDIC, procurement law, and cyber-regulations

Based in Islamabad – close to courts, ministries, and regulatory authorities

Attention to detail in drafting claims, counterclaims, and evidence

Regular client communication and strategic advice at every stage

Skilled in both domestic and international arbitration procedures

Should You Choose Arbitration?

If you’re dealing with a construction dispute, contract breach, or delayed payment claim, arbitration might save you years in litigation. But success in arbitration depends on experienced legal representation.

At Anchan Law, we don’t just argue your case—we prepare you to win it.

Contact Us today and schedule a confidential consultation to discuss your arbitration or dispute resolution needs.