In addition, Article 5 of the Singapore Convention includes defences similar to those of Article V of the New York Convention, including the defence of the inability to enter into an arbitration agreement and (ii) where the subject matter of the dispute is not in a position to settle by arbitration (mediation) according to the law of the country where recognition or enforcement is sought. In addition, the Singapore Agreement also contains a provision that reflects the defence of application by the New York Convention: (iii) the defence of „public order“. The Singapore Convention contains a language similar to that of the New York Convention on Enforcement, including the fact that each State party „enforces a transaction agreement in accordance with its internal regulations and under the conditions set out in this Convention.“ (Singapore Convention, Article 3, paragraph 1).) It was found that this new provision on the application of legislation extends the potential effects of the Singapore Agreement on the limited effects of the 2008 directive on mediation in the EU. In particular, Article 6 of the European Directive obliges Member States to approve the written agreement resulting from mediation in order to make it enforceable. Furthermore, under the EU directive, the content of a conciliation agreement must not be contrary to the law of the Member State and the law of that State must provide for the applicability of the transaction. The signing of the agreement will strengthen investor confidence and send a positive signal to foreign investors about India`s commitment to international practice of out-of-court dispute resolution (ADR). India signed the United Nations Convention on International Comparison Agreements (UNISA), also known as the Singapore Mediation Agreement, and 46 countries signed the Singapore Convention on Mediation contract. Since at least three signatory states ratify the treaty, the convention is not expected to enter into force until the middle of next year at the earliest. The Singapore Convention on Mediation came into force on Saturday and will provide a more effective way to secure a settlement of business disputes with companies in India and other countries that have signed it. The Convention provides a uniform and effective framework for the implementation of international settlement agreements arising from mediation and to enable parties to avail themselves of such agreements, as provided for by the Convention on the Recognition and Enforcement of Foreign Arbitration Awards (New York, 1958) (the „New York Convention“) for arbitrations. The agreement defines two other grounds for which a court may automatically refuse to grant appeal. These grounds relate to the fact that a dispute is not resolved through mediation or would not be contrary to public policy.