Commercial disputes heard in Singapore’s mediation centre growing in complexity

The Republic is handling more complex commercial disputes as businesses choose its mediation services for cross-border conflicts, said Singapore International Mediation Centre (SIMC) chief executive Chuan Wee Meng.

Asia’s economic boom over the past decade has fuelled a surge in complex international commercial disputes across the region, while Singapore’s established reputation as a leading dispute resolution hub has naturally attracted many of these cross-border cases, he said.

The Singapore International Arbitration Centre was established in 1991 to capitalise on this growth. SIMC was launched over two decades later to broaden the suite of legal tools available to international entities.

Chuan explained that companies typically prefer to settle disputes within their home jurisdictions, but this becomes challenging when conflicts involve parties from multiple countries.

“We like to propose SIMC as potentially a good second choice for (businesses) to consider,” he said. “(SIMC) is a neutral third party that they can come to... We have a judiciary that is very well respected around the world. We have very good lawyers, both local and international firms.”

The number of cases handled by SIMC has grown from six in 2014 – when the centre opened – to 90 in 2024. The dispute value has also grown significantly, with the largest cases reaching S$3 billion in 2022, S$4 billion in 2023, and S$7.6 billion in 2025.

Complex multi-party cases

Cryptocurrency-related disputes represent a growing category of complex cases, said Chuan. These matters pose particular challenges because legal frameworks across jurisdictions have struggled to keep pace with rapid technological developments.

The volatile nature of crypto assets introduces additional urgency, he added.

“For crypto owners, it is very important for them to have a very quick resolution to the dispute, so that they can realise the assets themselves,” he said.

This time sensitivity makes mediation especially appealing to asset holders, as disputes are usually resolved far more quickly than through arbitration or litigation.

Family office-related disputes are another expanding area. As more family offices seek to structure their assets professionally, the large value of assets involved and complex family dynamics make mediation an appealing resolution mechanism, Chuan said.

“Although it is a business and commercial issue, the underlying family ties continue to be important,” he added. SIMC has handled cases involving disputes between siblings as well as intergenerational conflicts within wealthy families.

The organisation recently successfully mediated a family office dispute between two siblings and their cousins from the family’s second generation. The family sought to resolve their differences while preserving their relationships, Chuan said.

“The importance of continuing the relationship within the family is something that they considered, and that was one of the reasons why an overall settlement can be found so in mediation,” he said.

“In mediation, we are looking for the real interest of the parties in resolving the dispute, so that the deeper interests can be satisfied.”

The last category of complex disputes experiencing growth involves state-related matters, including those arising from China’s Belt and Road Initiative.

These cases present particular challenges as they typically involve multiple stakeholders, each seeking their own outcomes in the resolution process.

Chuan expects demand for mediation in such disputes to continue rising, given that the parties involved often maintain ongoing, long-term relationships and seek to preserve future collaboration beyond the immediate conflict.

Unlike arbitration, which produces binding judgments and awards, mediation offers parties a “customised” solution tailored to their specific needs. Should circumstances evolve, parties can return for additional mediation sessions to address new developments, he noted.

International cooperation

Another key aspect of SIMC’s work involves engaging with governments, lawyers and business chambers to promote mediation awareness and expertise.

“In order for mediation to be successful – and this holds true in Singapore – we believe countries need a very strong ecosystem to support mediation,” Chuan said.

The centre’s educational efforts span the region. Just a few months ago, SIMC was commissioned to train 24 senior judges from Pakistan.

The organisation also maintains regular engagement with major law firms and law societies across South-east Asia and the broader region, while working with business chambers to raise awareness of mediation as an effective legal tool.

“It’s because mediation is about collaboration, of how we can share our experience, so that they can also promote mediation within their country,” he said.

Source: The Business Times © SPH Media Limited. Permission required for reproduction.

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