Published on: August 4, 2023

Vivad se Vishwas II

Vivad se Vishwas II

Why in news?  Centre launched Vivad se Vishwas 2.0 scheme to settle contractual disputes as announced in Union Budget 2023



  • What – Disputes between the parties to any contract regarding any clause of the contract
  • What causes the dispute – Breach of contract, non-performance, delay, force majeure
  • A look on data –
    • 14 lakh cases were pending in various courts related to public contracts worth Rs 9.38 lakh crore (Niti Aayog)
    • Cases accounted for about 46% of all pending cases in courts and about 5% of India’s GDP. Resolving these cases could potentially unlock Rs 5.83 lakh crore worth of investments
  • Impact
    • Legal Costs
    • Delay in Project Completion
    • Financial Loss
    • Damage to Reputation
    • Strained Relationships
  • Challenges
    • Lack of awareness and trust
    • Lack of adequate infrastructure
    • Lack of uniformity and consistency in the interpretation and application of the laws