Synopsis
- Introduction
- Legislative safe guard for outside court settlement
- Under Indian Constitution
Article 39
Article 39A
Article 51
4. Under The Code of Civil Procedure 1908
Section 89
Order XXXII A
5. Under the enactments specially devoted alternate mechanism
A) The Arbitration (Protocol And Convention) Act 1937
B) The Arbitration Act 1940
C) The Arbitration Act 1965
D) The Arbitration and conciliation Act 1996
E) The Arbitration and conciliation (Amendment) Act 2012
F) The Arbitration and conciliation (Amendment) Act 2015
G) The Arbitration and conciliation (Amendment) Act 2017
H) The Arbitration and conciliation (Amendment) Act 2019
I) The Arbitration and conciliation (Amendment) Act 2021
6. Conclusion
Introduction
An alternative Dispute resolution refers to settling of disputes outside the court room. It is a process to resolve the dispute matter without litigation. The parties can arrive to a decision in an amicable manner with the guidance of a third party. The disagreement can be resolved through Arbitration, Mediation, Conciliation, negotiation or Lok Adalat. ADR in the present scenario has gained an immense significance for resolving the conflicts between the parties without the approach of courts.
Legislative safeguard for outside court settlement
The Alternative Dispute resolutions (ADR) are supported by many provisions in legislations which assist the ADR in smooth functioning without any interruption. It is the duty of the state to provide justice to the aggrieved party by judicial or non judicial forums of dispute resolutions that lays timely and effective justice and enforcement of fundamental rights. In the, Food Corporation of India. V. Joginderpal the Court held that arbitration must be simple less technical and more responsible to the actual reality of situations, responsive to the principle of justice and fair play.
Under Indian Constitution
The Constitution of India is based on the concept of the welfare and well being of the people .
Article 39
The State shall, in particular, direct its policy towards securing—
(a) that the citizens, men and women equally, have the right to an adequate means of livelihood;
(b) that the ownership and control of the material resources of the community are so distributed as best to subserve the common good;
(c) that the operation of the economic system does not result in the concentration of wealth and means of production to the common detriment;
(d) that there is equal pay for equal work for both men and women;
(e) that the health and strength of workers, men and women, and the tender age of children are not abused and that citizens are not forced by economic necessity to enter avocations unsuited to their age or strength;
(f) that children are given opportunities and facilities to develop in a healthy manner and in conditions of freedom and dignity and that childhood and youth are protected against exploitation and against moral and material abandonment.
Read also :- Introduction to ADR
Article 39 A
The State shall secure that the operation of the legal system promotes justice, on a basis of equal opportunity, and shall, in particular, provide free legal aid, by suitable legislation or schemes or in any other way, to ensure that opportunities for securing justice are not denied to any citizen by reason of economic or other disabilities.
Article 51
The State shall endeavour to—
(a) promote international peace and security;
(b) maintain just and honourable relations between nations;
(c) foster respect for international law and treaty obligations in the dealings of organized peoples with one another; and
(d) encourage settlement of international disputes by arbitration
Under Code of Civil Procedure 1908
Section 89
(1) Where it appears to the Court that there exist elements of a settlement which may be acceptable to the parties, the Court shall formulate the terms of settlement and give them to the parties for their observations and after receiving the observations of the parties, the Court may reformulate the terms of a possible settlement and refer the same for:--
(a) arbitration;
(b) conciliation;
(c) judicial settlement including settlement through Lok Adalat: or
(d) mediation.
(2) Were a dispute has been referred--
(a) for arbitration or conciliation, the provisions of the Arbitration and Conciliation Act, 1996 (26 of 1996) shall apply as if the proceedings for arbitration or conciliation were referred for settlement under the provisions of that Act;
(b) to Lok Adalat, the Court shall refer the same to the Lok Adalat in accordance with the provisions of sub-section (1) of section 20 of the Legal Services Authority Act, 1987 (39 of 1987) and all other provisions of that Act shall .apply in respect of the dispute so referred to the Lok Adalat;
(c) for judicial settlement, the Court shall refer the same to a suitable institution or person and such institution or person shall be deemed to be a Lok Adalat and all the provisions of the Legal Services Authority Act, 1987 (39 of 1987) shall apply as if the dispute were referred to a Lok Adalat under the provisions of that Act;
(d) for mediation, the Court shall effect a compromise between the parties and shall follow such procedure as may be prescribed.
Order XXXII A
Duty of Court to make efforts for settlement"
(1) In every suit or proceeding to which this Order applies, an endeavour shall be made by the Court in the first instance, where it is possible to do so consistent with the nature and circumstances of the case, to assist the parties in arriving at a settlement in respect of the subject matter of the suit.
(2) If, in any such suit or proceeding, at any stage it appears to the Court that there is a reasonable possibility of a settlement between the parties, the Court may adjourn the proceeding for such period as it thinks fit to enable attempts to be made to effect such a settlement.
(3) The power conferred by sub-rule (2) shall be in addition to, and not in derogation of, any other power of the Court to adjourn the proceedings.
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