MICADR Advised for Business Dispute Resolution in Pakistan

MICADR Advised for Business Dispute Resolution in Pakistan

KARACHI: During a recent meeting at the Karachi Chamber of Commerce & Industry (KCCI), Justice (Retd.) Arif Hussain Khilji, Managing Director of Musaliha International Center for Arbitration and Dispute Resolution (MICADR), advocated for businesses to employ arbitration and mediation services provided by MICADR to resolve disputes.

As Pakistan’s first high court and government-recognized private Alternative Dispute Resolution (ADR) center, MICADR boasts a remarkable success rate of over 70%.

Addressing the significant delays and backlogs in the judicial system, which can extend legal proceedings up to 25 years, Justice Khilji highlighted the efficiency of MICADR’s services. These not only provide cost-effective and timely resolutions but also ensure the enforceability of decisions, presenting a stark contrast to the protracted court processes that deter both local and foreign investments in Pakistan.

The meeting saw participation from esteemed members of the MICADR Board of Governors, including former high court judge Justice (Retd.) Zafar Sherwani, and business community leaders such as former president of KCCI Majyd Aziz and former senior vice president of FPCCI Muhammad Suleman Chawla. The event also welcomed KCCI Senior Vice President Altaf A. Ghaffar and Vice President Tanveer Ahmed Barry, along with other notable committee members.

Justice Khilji pointed to international examples such as Singapore, TĂĽrkiye, and China, where arbitration and mediation have significantly reduced the court caseload. He urged the Pakistani business community to embrace MICADR for its streamlined and accessible dispute resolution mechanisms.

Sarha Rasheed, Co-Founder & Senior Manager of MICADR, underscored the critical need for effective ADR solutions by presenting alarming statistics: over 2.1 million cases are currently pending in Pakistani courts, which are serviced by just 3,100 judges. The average lifespan of a civil suit exceeds 15 years, severely hindering justice accessibility for businesses and investors.

MICADR, with offices in Karachi and Islamabad, handles a wide array of cases, including commercial disputes, insurance issues, and family disputes, among others. Rasheed also highlighted MICADR’s substantial contributions to training and capacity building within the ADR ecosystem, having trained over 130 judges, 100 accredited mediators, and more than 800 mediation advocates. Moreover, MICADR has played a pivotal role in legislative developments in Gilgit-Baltistan and has been instrumental in enhancing awareness among state regulators.

Confidentiality remains a cornerstone of MICADR’s operations, ensuring that all mediation proceedings are conducted without recording minutes, thereby safeguarding the interests and privacy of all parties involved.

KCCI Senior Vice President Altaf A. Ghaffar praised MICADR’s efforts and emphasized the urgent need for judicial reforms in Pakistan. According to the World Justice Project’s Rule of Law Index 2023, Pakistan ranks 130th out of 142 countries, underscoring the necessity for alternative dispute resolution methods to alleviate the burden on courts, improve access to justice, and bolster socioeconomic development.

As the session concluded, Ghaffar reaffirmed KCCI’s full support for MICADR’s initiatives aimed at fostering a conducive business environment through efficient dispute resolution.