RESOLUTION OF COMMERCIAL DISPUTES FROM THE PERSPECTIVE OF PAKISTAN’S TRADE DISPUTE RESOLUTION COMMISSION ACT, 2022

Abstract

This paper is outcome of my research as Executive Director General of TDRC, Islamabad in year 2024-2025. I did research on the Act of the newly established institution and comparative institutes in other countries, problems in legal edifice of the organization and what can be done keeping our specific scenario.  The paper critically examines Pakistan’s Trade Dispute Resolution Commission (TDRC) framework under the Trade Dispute Resolution Act, 2022. Focus remains on its arbitration and mediation function, structure of the organization, and how far is it compatible with contemporary international commercial arbitration practice. It considers the relationship between the TDRC Act, the Trade Dispute Resolution Rules, 2026, the Arbitration Act, 1940, and Pakistan’s implementation of the New York Convention through the Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act, 2011. The paper identifies a structural ambiguity in matter of conflict with statutory reference to the 1940 arbitration regime and the Rules’ reference to the UNCITRAL Arbitration Rules. It further examines the legal character of TDRC final determinations, and how they fit in the system of international dispute resolution, the mechanism and grounds of appellate review, whether arbitrators’ qualifications are specified or left open, whether institution is independent and transparent, and whether there exist a mechanism of cross-border enforcement. Comparative observations have been reviewed from Singapore and the United Arab Emirates. Institutional and legislative lessons have been derived, particularly the value of a modern Model Law-based arbitration framework and a clear separation between administrative functions and independent adjudication. The paper concludes that Pakistan can strengthen the credibility and international usability of its trade-dispute mechanism by clarifying the arbitration framework, modernizing domestic arbitration legislation, considering enactment of mediation, improving institutional safeguards, and considering a dedicated arbitration and mediation center for international commercial disputes.