Dispute Resolution and Legal System

12.4. Mitigating Legal Risks in Business

To effectively manage legal risks in Bangladesh, businesses should consider the following strategies:   Incorporate ADR Clauses: Including arbitration or mediation clauses in contracts can provide more control over dispute resolution processes, potentially reducing the time and costs associated with litigation.   Understand Local Laws: Familiarity with Bangladesh’s legal framework, including specific regulations pertinent to […]

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12.3. Enforcement of Foreign Judgments and Arbitral Awards

Bangladesh’s approach to enforcing foreign judgments is selective, primarily recognizing those from jurisdictions with reciprocal arrangements. The process involves filing a certified copy of the foreign judgment in a Bangladeshi district court, followed by standard enforcement procedures. However, the enforcement of foreign judgments is relatively rare, with parties often opting for local litigation or arbitration.

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12.2. Alternative Dispute Resolution (ADR) Mechanisms

To enhance the efficiency of dispute resolution, Bangladesh has integrated ADR methods into its legal system:   Arbitration: The Arbitration Act of 2001, which aligns with the UNCITRAL Model Law, governs arbitration, which serves as a binding method to resolve disputes outside traditional courts. This act facilitates both domestic and international arbitration and provides a

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