(1) If any dispute arises between the government of Nepal and the person who has received the permit regarding the implementation of the project, such dispute shall be resolved through mutual agreement.
(2) If the dispute is not resolved by mutual agreement according to sub-section (1), the dispute shall be settled according to the same if it is mentioned in the contract and if it is not mentioned, it shall be settled by arbitration.
(3) When resolving the dispute through arbitration in accordance with sub-section (2), the arbitration procedure shall be in accordance with the applicable law if it is mentioned in the contract and if it is not mentioned in the agreement.