International Commercial Arbitration at Sri Lanka
Here’s a detailed overview of International Commercial Arbitration in Sri Lanka:
🔹 International Commercial Arbitration in Sri Lanka
1. Legal Framework
Sri Lanka has a modern and comprehensive legal framework for arbitration, governed primarily by the Arbitration Act, No. 11 of 1995, which is largely based on the UNCITRAL Model Law on International Commercial Arbitration.
This Act covers both domestic and international arbitration, providing clear rules on arbitration agreements, arbitral procedures, and enforcement of awards.
2. New York Convention
Sri Lanka is a signatory to the 1958 New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards (acceded in 1983).
This means foreign arbitral awards are enforceable in Sri Lanka, and Sri Lankan awards are enforceable in other contracting states.
3. Arbitration Institutions
While Sri Lanka does not have a large international arbitration center like ICC or LCIA, it has the Sri Lanka International Arbitration Centre (SLIC), established to promote arbitration and mediation within Sri Lanka.
Parties can choose ad hoc arbitration or opt for foreign institutions, often with Sri Lanka as the seat.
4. Seat and Venue
Sri Lanka can be chosen as the seat of arbitration, and courts in Sri Lanka generally support arbitration and respect party autonomy.
Sri Lankan courts assist in arbitration proceedings but refrain from interfering unnecessarily.
5. Judicial Support
Sri Lankan courts support arbitration by enforcing arbitration agreements, granting interim relief, and recognizing and enforcing arbitral awards.
Courts also have a limited role in reviewing arbitral awards mainly to ensure procedural fairness.
6. Language and Procedure
Arbitration proceedings can be conducted in any language agreed by the parties.
The procedure is flexible and party-driven, consistent with international arbitration standards.
✅ Summary
Sri Lanka has a modern arbitration law based on the UNCITRAL Model Law facilitating both domestic and international arbitration.
It is a party to the New York Convention, ensuring enforceability of foreign arbitral awards.
The Sri Lanka International Arbitration Centre (SLIC) promotes arbitration locally.
Courts provide supportive judicial framework with limited intervention.
Sri Lanka is a viable seat for international commercial arbitration, especially for disputes involving South Asia and related jurisdictions.
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