Arbitrability And Intellectual Property Disputes In India: Legal Dynamics

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Arbitrability means whether a particular dispute can be brought to arbitration or if an arbitral tribunal has jurisdiction over the subject matter. Arbitrability is especially crucial for intellectual property rights (IPR) disputes. The arbitrability of IPR disputes in India is explored in this abstract. The Indian legal system, as defined by the Arbitration and Conciliation Act, of 1996, does not specifically list the categories of nonarbitrable disputes, but rather empowers the courts with the power to judge on issues of arbitrability. The courts relied on case law to determine the arbitrability of IPR cases. This paper evaluates the rulings in the significant cases of Vidya Drolia, which developed a four-fold test to determine the arbitrability of disputes, and Booz Allen & Hamilton Inc. v. SBI Home Finance Ltd., that established the test of “right in rem” and “right in personam” to determine the arbitrability of disputes. In summary, case law and interpretation of the 1996 Arbitration and Conciliation Act determine whether IPR disputes in India can be arbitrated. While there is no definitive list of non-arbitrable IPR disputes, courts have developed tests for evaluating arbitrability based on factors such as the nature of the rights at issue and public interest. The recognition of arbitrability in some IPR disputes demonstrates India’s commitment to promoting arbitration as an effective way of resolving such disputes.