22-05-2025
Singapore's dispute resolution ecosystem must evolve to stay relevant: Murali
Mr Murali Pillai, Minister of State for Law and Transport, speaking at the Alternative Dispute Resolution Conference on May 22. ST PHOTO: NG SOR LUAN
SINGAPORE – Hubs for Alternative Dispute Resolution (ADR) must evolve to remain relevant to businesses, to deliver certainty and rule of law amid the volatile global landscape.
In a speech on May 22 to about 200 delegates at the Alternative Dispute Resolution Conference, Mr Murali Pillai, Minister of State for Law and Transport, said Singapore aims to navigate the complex and dynamic global environment in three ways – upholding the rule of law, innovation and creating partnerships.
On the rule of law, Mr Murali said Singapore is a strong proponent of multilateralism, noting that the Republic had signed and ratified a number of key international conventions, including the New York Convention, the Hague Choice of Court Convention, and the Singapore Convention on Mediation.
He said these instruments enhance the enforceability of arbitral awards, court judgments, and mediated settlement agreements across borders.
Mr Murali highlighted the most recent addition - the Singapore Convention on Mediation, which currently has 18 parties and 57 signatories, including many progressive countries from ASEAN and Asia.
'We hope that more countries will sign and ratify the Convention, allowing mediation to become a truly effective and trusted means for resolving cross-border disputes – complementing arbitration as a key pillar of international dispute resolution,' he said.
Speaking at the conference, jointly organised by the Law Society of Singapore and LawAsia (The Law Association for Asia and the Pacific), held at the Pan Pacific Singapore, Mr Murali said Singapore must consistently innovate, improve, and create better ways to meet global needs.
He noted changes were made to introduce a framework for fee agreements, to align the ADR landscape in Singapore with practices and developments on the international front.
Singapore also embraced technology, with the Singapore International Mediation Centre (SIMC) offering the use of the Mediation Artificial Intelligence (AI) Assistant.
The tool allows users to quickly make sense of large volumes of information, including generating a chronology of events, outlining the roles of individuals, providing a table of common positions and differences between parties, and summarising the documents and data provided by parties
Mr Murali said because of the international nature of the disputes, Singapore recognises that it cannot operate in isolation.
At the government-to-government level, he noted that the Ministry of Law has signed memorandum of understanding with counterparts around the world.
ADR institutions have also collaborated with foreign ADR institutions, trade bodies, bar associations, hearing centres and law schools, to exchange knowledge and best practices.
Mr Murali said ADR institutions in Singapore have an international Board, Court and panel from both common law and civil law jurisdictions.
'Just as Singapore is integrated into the global trading system, our ADR ecosystem must also be globally connected.
'To this end, we have liberalised our dispute resolution regime,' he added, noting that parties can appoint counsel, arbitrators and mediators of any nationality.
In his speech, Mr Murali said he is optimistic that globalisation is here to stay, though in a different form, with new ties forged between like-minded jurisdictions.
He said he was especially confident about the future of Asia, noting that three of the top five largest economies in the world are in Asia – China, Japan and India.
'ASEAN, as a collective bloc, is around the same size as India. This region is dynamic and full of promise.
'The Asia-Pacific is home to over 60 per cent of the world's youth aged 15 to 24, representing not only a significant source of talent, but also a growing base of consumers.
'With an expanding middle class and increasing urbanisation, we are witnessing a surge in infrastructure development and economic activity.
'And where business thrives, so too does demand for legal and dispute resolution services. There is room for all of us to benefit from this growth,' he added.
Legal experts speaking to The Straits Times at the sideline of the event said new trends are emerging in the ADR environment.
One of the delegates at the conference, Mr See Chern Yang, director of dispute resolution at Drew & Napier, told The Straits Times: 'We are starting to see more commercial disputes, especially now... cross border, commercial disputes between two parties of different countries getting through the mediation system.
'We are also starting to see a trend of what we call pre-commencement mediation, which means even before the case is found in the court, before litigation commences, parties with their lawyers collectively decide, 'let's mediate'.'
Mr See Chern Yang, director of dispute resolution at Drew & Napier, said that they are starting to see more commercial disputes, especially now.
ST PHOTO: NG SOR LUAN
Parties from around the world have chosen Singapore as the dispute resolution forum , even when the dispute has no direct connection with Singapore.
In the latest Queen Mary University of London and White & Case's International Arbitration Survey, Singapore continues to rank amongst the top four most preferred seats of arbitration across all regions, including Africa and Latin America.
The Singapore International Arbitration Centre has received cases from parties from 110 jurisdictions.
Mr Shyam Divan, president of LawAsia, said ADR can bring cost-savings and be more efficient to feuding parties.
In international trade disruptions, such as the Covid-19 pandemic, parties may find themselves having a problem which needs to be solved quickly.
Mr Divan told ST: 'So in situations like that, I think ADR, without having to go through the court system, is much more efficient – either through the arbitration or the mediation route – in trying to have a solution which is acceptable to two sides.'
He added that he sees mediated settlements gaining popularity.
Mr Shyam Divan, president of LawAsia, said ADR can bring cost-savings and be more efficient to feuding parties.
ST PHOTO: NG SOR LUAN
Mr Murali, who will be appointed Senior Minister of State for both portfolios from May 23 , told ST about his new role as 'being a team player in the team captained by Prime Minister Lawrence Wong'.
He said: 'The goal is simple but difficult – to win the match to secure our country's future at local, national and international levels.'
Zaihan Mohamed Yusof is senior crime correspondent at The Straits Times.
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