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Arbitration, Mediation and Conciliation · International and Emerging Aspects under Mediation Law

International Mediation under the Mediation Act, 2023

Updated 11 October 2026 · Fact-checked

International mediation is mediation with a cross-border element, as defined in the Mediation Act, 2023; check the definition in Section 3 of the bare Act. The Act applies where mediation is conducted in India and it is an international mediation (Section 2(iii)). To solve questions, test the place, the parties against the definition, and the nature of the dispute.

Understand International Mediation under the Mediation Act, 2023

Mediation is a voluntary process in which a neutral mediator helps parties reach their own settlement. It becomes international mediation when the Act's definition of that term is met, which turns on a cross-border element in the parties. The definition is not in the extract supplied here. Read it in Section 3 of the bare Act and quote it in your answer. Do not rely on a list from memory.

The Act does not apply to every mediation with a foreign flavour. Section 2 says it applies where mediation is conducted in India and one of the listed conditions is met. One of those conditions, in Section 2(iii), is that there is an international mediation. So two tests work together: the mediation takes place in India, and it is international.

Section 2(i) is a different condition. It is not a definition of domestic mediation. It is one condition on which the Act applies to mediation conducted in India: all or both parties habitually reside in, are incorporated in, or have their place of business in India. It is typical of domestic cases, such as two Indian companies mediating in Pune, but the Act does not label it a domestic mediation category. A mediation between an Indian company and a company incorporated abroad is the typical cross-border case. You must test it against the definition in Section 3 before you call it international.

The Act also deals with the mediation agreement. Under Section 4(6), a mediation agreement in an international mediation shall refer to an agreement for resolution in matters of commercial disputes referred to in clause (a) of Section 3. This sets a requirement for the agreement. It does not itself define international mediation, so use Section 3 for the definition. Section 4 otherwise requires the agreement to be in writing, and it can be a clause in a contract or a separate agreement, including one made by exchange of electronic communications.

The Act also pushes India as a mediation hub. Under Section 38, the Mediation Council of India must endeavour to promote domestic and international mediation through guidelines, and to develop India as a robust centre for both. Keep this as a policy link in your answer.

Key rules to remember

Application of the Act to international mediation
Mediation conducted in India + international mediation → Act applies (Section 2(iii))
Both parts are needed. Mediation held abroad is outside Section 2.
What makes it international
Definition of international mediation in Section 3 of the Act, tested against the parties' facts
The definition is not in the extract supplied. Read it in the bare Act and apply its words to the facts.
Mediation agreement in international mediation
Written agreement for resolution of commercial disputes (Section 4(6), referring to clause (a) of Section 3)
Section 4(1)-(3): must be in writing, and can be a clause or a separate agreement, including electronic exchange.
Domestic limb of applicability
Mediation in India + all or both parties habitually reside, are incorporated or have a place of business in India (Section 2(i))
Use this to contrast with the international limb.
Commencement where an agreement exists
Date the other party receives notice to refer the dispute to mediation (Section 14(a))
Otherwise: date the mediator consents (14(b)(i)), or date a mediator is appointed through the service provider (14(b)(ii)).
Council's role
Promote domestic and international mediation and develop India as a robust centre (Section 38(a), (b))
Useful for the policy angle of an answer.

How to solve International Mediation under the Mediation Act, 2023 questions

Use this order for any case question on international mediation. Always link each conclusion to the facts.

  1. 1Note where the mediation is or will be conducted. If it is outside India, say the Act does not apply under Section 2.
  2. 2List the parties and their nationality, residence, place of incorporation and place of business.
  3. 3Apply the definition of international mediation in Section 3 of the Act to those facts. If it is not met, check whether Section 2(i) applies because the parties are India-based.
  4. 4Check the mediation agreement against Section 4(6): for an international mediation it refers to resolution of commercial disputes, as in clause (a) of Section 3.
  5. 5State the applicable limb of Section 2: clause (iii) for international mediation, clause (i) if all or both parties are India-based.
  6. 6Check the form of the agreement: in writing, a clause or a separate agreement, and Section 4(3) forms such as email exchange.
  7. 7If asked about timing, apply Section 14 to fix when the mediation commenced.
  8. 8Conclude clearly: whether the mediation is international, whether the Act applies, and the practical consequence.

Quickest way: Two-gate test: place and party

When to use it: Use it for short fact-based questions when you have only a few minutes.

  1. Gate 1: Is the mediation conducted in India? If no, stop: the Act does not apply.
  2. Gate 2: Do the facts meet the definition of international mediation in Section 3? If yes, use Section 2(iii). If the parties are all or both India-based, use Section 2(i).
  3. Check that the agreement meets Section 4(6) if the mediation is international.
  4. Write the conclusion with Section 2(iii) for international or Section 2(i) for domestic, then add one line on the written agreement.

Common mistakes in International Mediation under the Mediation Act, 2023

  • Saying the Act applies whenever a foreign party is involved.

    Students focus on the word international and forget the place requirement.

    Fix: Always state that Section 2 requires the mediation to be conducted in India. Mediation held abroad is outside it.

  • Treating a dispute as international because the contract is governed by foreign law.

    Students mix up arbitration concepts like governing law with the Act's tests.

    Fix: Governing law is not itself a party-based test. Look at the parties and the definition of international mediation in Section 3, and at the Section 2 limbs.

  • Ignoring the requirements for the mediation agreement in an international mediation.

    The party test feels complete, so the agreement is skipped.

    Fix: Cite Section 4(6): in an international mediation the agreement refers to resolution of commercial disputes as in clause (a) of Section 3. Do not treat this as the definition of international mediation.

  • Quoting the definition of international mediation from memory.

    Students try to look precise and misstate the limbs or cite a wrong number.

    Fix: Read the definition in Section 3 of the bare Act and quote it. Give only section numbers you are sure of, such as Sections 2, 4, 5, 6, 14 and 38.

  • Confusing the date of commencement with the date of the mediation session.

    Students assume mediation starts when parties first meet.

    Fix: Apply Section 14: notice received where an agreement exists, mediator's consent, or mediator's appointment through a service provider.

  • Assuming any dispute can be taken to mediation under the Act.

    Students forget the exclusions.

    Fix: Mention Section 6: disputes in the First Schedule indicative list are not fit for mediation, with the proviso on compoundable offences.

Worked examples

Example 1

Kaveri Textiles Ltd, an Indian company, has a supply dispute with Lim Trading Pte Ltd, incorporated in Singapore. They agree in writing by exchange of emails to mediate in Mumbai. Is this international mediation, and does the Mediation Act, 2023 apply?

Show the solution
  1. Place: the mediation is to be conducted in Mumbai, so it is conducted in India.
  2. Parties: Lim Trading Pte Ltd is incorporated outside India, so there is a clear cross-border element. Confirm it against the definition of international mediation in Section 3 of the Act. On these facts it appears to be international, but the conclusion depends on that check.
  3. Nature: a supply dispute between businesses looks commercial. Whether it is a commercial dispute in the Act's sense depends on clause (a) of Section 3 and the definition in the bare Act, which are not in the extract supplied. Confirm both before you conclude.
  4. Agreement: emails exchanged between the parties are an exchange of communications, which counts as writing under Section 4(3)(b). For an international mediation, Section 4(6) requires the agreement to refer to resolution of commercial disputes as in clause (a) of Section 3. Do not state that Section 4(6) is met until you have checked Section 3(a).
  5. Application: if the mediation is international, Section 2(iii) applies the Act, because the mediation is conducted in India.

Answer: On these facts it appears to be an international mediation, subject to confirming the definition in Section 3. If it is, the Mediation Act, 2023 applies under Section 2(iii), because the mediation is held in India and one party is incorporated abroad. Whether the written agreement meets Section 4(6) depends on confirming clause (a) of Section 3 and the definition of a commercial dispute in the bare Act.

Example 2

Arjun Pharma Ltd (Hyderabad) and Meera Exports Ltd (Chennai) have a contract governed by English law, with a mediation clause for sessions in Delhi. Meera Exports sends a notice to Arjun Pharma referring the dispute to mediation, and Arjun Pharma receives it on 5 March. Does the Act apply, and when did the mediation commence?

Show the solution
  1. Place: Delhi, so the mediation is conducted in India.
  2. Parties: both are Indian companies with places of business in India. Neither party has a foreign element on the facts.
  3. Governing law: English law is not itself a party-based test. The facts show no cross-border party, so the international limb in Section 2(iii) is not needed. Check this against the definition in Section 3 if the question asks you to classify the mediation.
  4. Application: the Act applies because the mediation is conducted in India and the condition in Section 2(i) is met, as both parties are incorporated in and have a place of business in India. Section 2(i) is an applicability condition, not a definition of domestic mediation.
  5. Commencement: an existing agreement (the mediation clause) means Section 14(a) applies. Mediation commences on the date the party receives the notice.

Answer: The Act applies because the mediation is conducted in India and Section 2(i) is met. The English governing law does not change this. The mediation commenced on 5 March, the date Arjun Pharma received the notice under Section 14(a).

Exam tips

  • Open every answer with the two-gate test: place in India, then the definition of international mediation applied to the parties. Examiners reward this structure.
  • Use the facts. Name the parties, their country of incorporation and the place of mediation in your analysis.
  • Add one line on Section 6 if the facts hint at a family, criminal or other sensitive matter.
  • Cite only sections you know: 2, 4, 5, 6, 14 and 38 are safe from the text. For the definition of international mediation, read Section 3 in the bare Act and quote it.
  • For long answers, add the policy angle: Section 38 asks the Council to promote international mediation and make India a mediation centre.

Practice questions from International and Emerging Aspects under Mediation Law

International Mediation under the Mediation Act, 2023: frequently asked questions

What is international mediation under the Mediation Act, 2023?

It is mediation that meets the definition of international mediation in Section 3 of the Act, which turns on a cross-border element. Read the exact wording in the bare Act. The Act covers it under Section 2(iii) when the mediation is conducted in India.

Does the Act apply to mediation held outside India?

No. Section 2 begins with mediation being conducted in India. A mediation held in another country, even between an Indian and a foreign party, falls outside the Act.

What is the difference between domestic and international mediation in India?

The Act does not define domestic mediation in Section 2. Section 2(i) is one condition on which the Act applies to mediation conducted in India: all or both parties habitually reside in, are incorporated in, or have their place of business in India. That is typical of domestic cases. An international mediation is one that meets the definition in Section 3, and Section 2(iii) applies the Act to it when it is conducted in India.

Does Section 4(6) say a non-commercial dispute cannot be an international mediation?

Section 4(6) only says that a mediation agreement in an international mediation shall refer to an agreement for resolution in matters of commercial disputes referred to in clause (a) of Section 3. It does not define international mediation. For the full test, check the definition in Section 3 of the Act.

When does an international mediation commence?

The same Section 14 rules apply. Where an agreement exists, it commences when the other party receives notice to refer the dispute to mediation. In other cases, it commences when the chosen mediator consents, or when a mediator is appointed on an application to a service provider.