Arbitration, mediation as integral to modern justice system as litigation: Justice Nagarathna

# Justice Nagarathna: ADR Vital to Modern Justice

By Senior Legal Correspondent, The Daily Law Desk | April 11, 2026

**NEW DELHI** — On April 11, 2026, Supreme Court Justice B.V. Nagarathna firmly asserted that arbitration and mediation are no longer mere alternatives, but rather integral, foundational pillars of India’s modern justice system, carrying the same institutional weight as traditional litigation. Speaking at a prominent national legal symposium on dispute resolution, the senior Supreme Court judge emphasized that integrating Alternative Dispute Resolution (ADR) mechanisms is essential to combating the mounting pendency of cases in Indian courts. By recognizing mediation and arbitration as primary avenues for resolution, the legal framework can ensure swifter, more cost-effective justice for citizens and corporations alike, transforming the adversarial nature of Indian jurisprudence into a more collaborative ecosystem. [Source: Hindustan Times | Additional: National Judicial Data Grid Reports].

## Redefining the Architecture of Dispute Resolution

For decades, the Indian legal system has operated primarily on an adversarial model. Litigants enter courtrooms expecting a combative process where a judge declares a winner and a loser. However, Justice B.V. Nagarathna, who is slated to become the first female Chief Justice of India in 2027, used her address to signal a profound paradigm shift in how the state and the judiciary view dispute resolution.

According to Justice Nagarathna, the nomenclature of “Alternative Dispute Resolution” has inadvertently done a disservice to mechanisms like arbitration, mediation, and conciliation by framing them as secondary or subordinate to court trials. She argued persuasively that these methods should simply be viewed as parallel tracks within a comprehensive justice delivery system.

“Mediation and arbitration must shed the ‘alternative’ tag. They are integral components of our modern justice architecture. A civilized society must prioritize the preservation of relationships and the rapid resolution of commercial conflicts over prolonged adversarial battles,” Justice Nagarathna noted during her keynote address. Her commentary underscores a growing judicial consensus that litigation should be the option of last resort, particularly in commercial, family, and minor civil disputes.

## The Staggering Burden of Traditional Litigation

The urgency behind Justice Nagarathna’s remarks cannot be overstated when viewed against the backdrop of India’s judicial backlog. As of early 2026, the National Judicial Data Grid (NJDG) estimates that over 50 million cases remain pending across various tiers of the Indian judiciary, from subordinate courts to the Supreme Court. This staggering volume not only strains judicial infrastructure but also severely delays justice delivery, prompting the frequently cited maxim: “Justice delayed is justice denied.”

**Caseload Distribution in Indian Courts (Estimated 2026 Data):**

| Court Level | Approximate Pending Cases | Average Time to Disposal |
| :— | :— | :— |
| Subordinate Courts | 43.5 Million | 3 to 6 Years |
| High Courts | 6.2 Million | 2 to 5 Years |
| Supreme Court | ~80,000 | 1 to 3 Years |

*Data Context: Projections based on Ministry of Law and Justice reports and NJDG analytics.*

Traditional litigation involves complex procedural laws, frequent adjournments, and multiple layers of appeals, all of which contribute to this backlog. By embracing mediation—which facilitates mutually agreeable settlements—and arbitration—which allows for binding decisions by neutral experts outside the courtroom—the judiciary can effectively filter out millions of cases. This diversion frees up critical docket space, allowing judges to focus on constitutional questions, severe criminal offenses, and complex questions of law that genuinely require rigorous judicial scrutiny.

## The Maturation of the Mediation Act

Justice Nagarathna’s observations come at a critical juncture, precisely three years following the enactment of the landmark Mediation Act of 2023. The legislation was designed to institutionalize mediation, making pre-litigation mediation a normalized, and in some cases mandatory, step before approaching the courts.

Reflecting on the progress made, legal experts note that the establishment of the Mediation Council of India has standardized the training and certification of mediators, elevating the profession’s credibility. Justice Nagarathna highlighted that mediation is uniquely suited for family disputes, matrimonial issues, and community conflicts, as it inherently focuses on restorative justice rather than punitive outcomes.

“When parties mediate, they craft their own solutions. They take ownership of the outcome, which drastically reduces the likelihood of future appeals and continued animosity. It is a healing process as much as it is a legal one,” she remarked. The success of court-annexed mediation centers over the past few years serves as empirical proof that Indian litigants are increasingly willing to negotiate when provided with structured, secure, and confidential environments.

## Elevating India as a Global Arbitration Powerhouse

Beyond domestic civil disputes, Justice Nagarathna’s endorsement of ADR deeply impacts India’s macroeconomic landscape. In the realm of international trade and commerce, arbitration is the universally preferred method of dispute resolution. However, for many years, Indian and international corporations preferred foreign arbitration seats like Singapore, London, or Geneva over New Delhi or Mumbai, citing concerns about judicial interference and delays in the enforcement of arbitral awards in India.

The narrative has been actively shifting. Amendments to the Arbitration and Conciliation Act have aimed to minimize judicial intervention in arbitral awards and strictly enforce timelines for the completion of arbitration proceedings. By stating that arbitration is “as integral to the modern justice system as litigation,” Justice Nagarathna sends a strong, reassuring signal to global investors.

Foreign Direct Investment (FDI) is intricately linked to contract enforcement. When multinational corporations observe the highest echelons of the Indian judiciary championing arbitration as a primary, respected, and final mode of dispute resolution, it boosts investor confidence. Establishments like the New Delhi International Arbitration Centre (NDIAC) and the Mumbai Centre for International Arbitration (MCIA) are actively benefiting from this supportive judicial posture.

## Voices from the Legal Fraternity

The legal community has warmly received Justice Nagarathna’s statements, viewing them as a crucial top-down mandate to change the deeply ingrained litigation culture among Indian lawyers.

“Justice Nagarathna’s perspective is exactly what the Bar needs to hear,” stated Ramesh Iyer, a Senior Advocate specializing in commercial dispute resolution. “For too long, lawyers have viewed mediation as a loss of billable hours or arbitration as just the first step before a High Court appeal. Elevating ADR to the exact same pedestal as litigation forces a behavioral shift. Lawyers must now view themselves as ‘resolution professionals’ rather than strictly as combative litigators.”

Dr. Aditi Sharma, Director of the Centre for Applied Alternative Dispute Resolution, echoed this sentiment. “The integration of ADR into the mainstream justice delivery mechanism is the only mathematically viable solution to our pendency crisis. Justice Nagarathna’s emphasis on this integration indicates that future judicial policies, including the allocation of state funds, will likely favor the expansion of ADR infrastructure.” [Source: Independent Legal Analysis].

## The Synergy of ODR and Artificial Intelligence

A critical subtext to the modernization of the justice system is the rapid rise of Online Dispute Resolution (ODR). As technology permeates the legal sector, ODR platforms are utilizing secure video conferencing, encrypted document sharing, and even Artificial Intelligence (AI) to facilitate mediations and arbitrations.

During the COVID-19 pandemic, virtual courts became a necessity, but in 2026, they are a staple of efficiency. Small-cause consumer disputes, e-commerce grievances, and minor financial defaults are now routinely settled through digital Lok Adalats and AI-assisted ODR platforms. Justice Nagarathna’s vision of an integrated modern justice system inherently relies on this technological backbone.

By pushing disputes toward these accessible digital platforms, the justice system democratizes access to legal recourse. Citizens in rural areas no longer need to travel hundreds of kilometers to physical courts for minor disputes; they can resolve their issues via smartphone-enabled ODR portals, overseen by certified mediators.

## Overcoming Institutional Roadblocks

Despite the optimistic outlook, the transition to a fully integrated ADR-litigation system is not without hurdles. The primary challenge remains the enforcement of arbitral awards. While the Supreme Court has consistently ruled in favor of a “pro-enforcement” regime, lower courts occasionally entertain frivolous appeals aimed at stalling the execution of arbitral awards.

To realize Justice Nagarathna’s vision, the judiciary must relentlessly enforce cost-penalties on parties that misuse the judicial process to challenge perfectly valid arbitration awards. Furthermore, the state must increase funding for mediation infrastructure. While metropolitan cities boast state-of-the-art mediation centers, rural and semi-urban jurisdictions still lack the necessary facilities and trained personnel to handle complex mediations.

There is also the cultural challenge within the legal profession. Law schools across the country are now being urged to revamp their curricula. Traditionally heavily weighted toward civil procedure and evidence laws, academic institutions must now emphasize negotiation, psychology, and drafting arbitration clauses, preparing the next generation of lawyers for a justice system where going to trial is the exception, not the rule.

## Conclusion and Future Outlook

**Key Takeaways:**
* **Parity in Dispute Resolution:** Supreme Court Justice B.V. Nagarathna has officially endorsed ADR mechanisms (Arbitration and Mediation) as holding equal importance to traditional courtroom litigation.
* **Pendency Management:** Integrating ADR is the most viable strategy for tackling the 50+ million pending cases in India.
* **Economic Impact:** A strong arbitration framework reduces judicial interference, thereby boosting foreign investor confidence and positioning India as a global arbitration hub.
* **Cultural Shift:** The legal fraternity must transition from a purely adversarial mindset to a collaborative, solution-oriented approach.

As India marches toward a more robust economic future, the efficiency of its justice system will be under constant global and domestic scrutiny. Justice B.V. Nagarathna’s declarations serve as both a mirror and a map for the Indian judiciary. They reflect the current limitations of a litigation-heavy model while charting a clear path toward a more accessible, swift, and harmonious legal framework. As she prepares to take the mantle of Chief Justice of India in the near future, her commitment to integrating arbitration and mediation ensures that India’s modern justice system will be defined not by the battles fought in courtrooms, but by the equitable resolutions achieved across the table.