Centre equipped with facilities, logistic inputs:

SLNAC aims at neutral arbitration in the region

Sanjeevi JAYASURIYA

The Sri Lanka National Arbitration Centre (SLNAC) is most likely to become a neutral arbitration centre in the region. The centre set up at Vauxshall Street, Colombo is equipped with facilities and logistic inputs to conduct arbitration.

The prevailing peaceful situation in the country has made it possible for the National Chamber of Commerce Sri Lanka (NCCSL) and SLNAC to promote Sri Lanka to become an independent arbitration centre.

This will benefit the country as well as the business community, Member of the Board of Governors of SLNAC and Chairman, Shipping, Ports and Aviation Committee of NCCSL, Sujeiva Samaraweera told Daily News Business.

The country needs to create awareness among the international business community regarding the facilities that could be offered by SLNAC. We have the skills and professionals that facilitate an efficient service, he said.

Arbitration is an internationally recognized process to settle disputes as disputes are common in the business world. A settlement could be arrived at in a court of law and arbitration is an option available for the affected parties without recourse to legal action. Arbitration safeguards the interests of both parties as its confidentiality is assured, he said.

Another advantage of arbitration is the time factor. Unlike in court proceedings, arbitration takes less time. We need to be pro-active as we are looking at a paradigm shift in economic activities. In terms of activities we need to be time conscious and arbitration saves time as conflicts could be resolved expeditiously, he said.

The business community needs to be educated to be vigilant and knowledgeable in the contracts they enter in to as many contracts have an arbitration clause. The NCCSL in collaboration with the SLNAC has taken steps to create awareness and share knowledge in this regard. It is important to propagate the concept of arbitration to enable the business community to be protected against financial claims as it is a safeguard tool available, he said.

An arbitration clause is important in a contract. The centre is concerned with the legal limitation in arbitration and seeks to restructure and streamline the process to become more user-friendly. We focus on economic growth and facing competition globally and it is necessary to gear ourselves to manage business in a more professional manner, Samaraweera said.