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Alternative Dispute Resolution Overview

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0% found this document useful (0 votes)
56 views13 pages

Alternative Dispute Resolution Overview

Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

PROFILE:

NAME : kanishk pathak

ROLL NO: 190991021

SEMESTER: 9th

SCHOOL: SCHOOL OF LEGAL STUDIES

SUBJECT: Alterna ve dispute redressals

Kanishk pathak Dr. Lokesh Awasthi


SUBMITTED BY: SUBMITTED TO:

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Project on Alternative dispute redressal

Alternative dispute resolution (ADR) refers to a


range of dispute settlement methods which help the
parties in the dispute to come to a settlement
without going to court, or without litigating on the
said matter. These methods usually involve a third
party, who helps them in settling the disputes. In
many cases, ADR methods are used alongside the
litigation process as well through court
authorisation.

Alternative dispute resolution denotes a wide


range of dispute resolution processes and
techniques that act as a means for disagreeing
parties to come to an agreement.

Pros and cons of ADR

Pros of ADR
 It is less expensive.
 It is less time consuming.

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 It is free from the technicalities that are
present in the court system.
 The parties are free to differ in their opinion
and can discuss their opinions with each
other, without any fear of disclosure of this
fact before the courts.
 There is no feeling of enmity between the
parties as there is no winning and losing side.
They also get their grievances redressed and
their relationship remains as it was before,
therefore, they can conduct future business
deals with each other.
 ADR is more suitable for multi party disputes,
as all the parties can put forward their
opinions at the same place and in one go,
rather than going to court again and again.
Also, it provides for a wider perspective of the
dispute.
 The parties often have the choice of the ADR
method to be used. They sometimes also have
the choice to select the individuals or bodies
who will settle the dispute.
 The process is also very flexible, according to
what suits the parties.

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Cons of ADR
 ADR is not helpful where a dispute is to be
decided on the basis of a precedent.
 When there is a need for court and interim
orders, ADR would not be useful.
 ADR is less suitable when there is a need for
enforcement.
 When there is a need for live and expert
evidence and analysis in a case, then ADR
would not be useful.
 When there is an imbalance of power,
between the parties in the dispute, then ADR
would not work.

What is an Alternative Dispute Resolution?


Alternative Dispute Resolution (ADR) is a
technique to resolve disputes and disagreements
between the parties by arriving at an amenable
settlement through negotiations and discussions. It
is an attempt to establish an alternative mechanism
other than the traditional methods of dispute
resolutions. The ADR mechanism offers to
facilitate the resolution of matters of business issues
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and the others where it has not been possible to
initiate any process of negotiation or arrive at a
mutually agreeable solution.
ADR is established on the basis of Article 14
(Equality before law) and Article 21 (Right to life
and personal liberty) under the Constitution of
India.

Techniques of Alternative dispute redressals


Various Alternative Dispute Resolution
mechanisms can be classified as:
1. Arbitration
2. Conciliation
3. Mediation
4. Judicial Settlements inclusive of Lok Adalats
5. Negotiations

Arbitration
Under this form of Alternative Dispute Resolution
mechanism, both the parties involved in the dispute,
choose the person to hear and determine their
dispute through a consensus. The objective of
arbitration is to arrive at a fair resolution through an

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unbiased tribunal speedily and in a cost-effective
manner.
The Arbitration and Conciliation bill in 1996 and
(Amendment) Bill, 2015 was introduced in Lok
Sabha on December 3, 2015
The amendment of 2015 imposed a time limit in a
strict sense for concluding the process of
arbitration

Conciliation
Under the process of conciliation, the intention is to
facilitate the settlement between the parties. The
parties, however, are not obliged or are not bound
by the conciliation, in a sense that negotiations can
be carried out until the parties arrive at a mutually
pleasing settlement. The process is handled by an
impartial individual termed as the conciliator.

Mediation
A mediator is involved in assisting the parties in
dispute to reach an agreement. The parties in
dispute themselves set the conditions of the
settlement to be reached. The third-party does not

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impose any decisions on the parties but merely acts
as a facilitator involved in improving the dialogue
between the parties.

Lok Adalats
The establishment of Lok Adalat system of dispute
settlement system was brought about with the Legal
Services Authorities Act 1987 for expediting the
system of dispute settlement. In Lok Adalats,
disputes in the pre-litigation stage could be settled
amicably.

Negotiations
It is the most common method of alternative
dispute resolution. A non-binding procedure in
which discussions between the parties are initiated
without the intervention of any third party with the
object of arriving at a negotiated settlement to the
dispute. Negotiation occurs in business, non-profit
organizations,

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Methods of arbitration

Arbitration can be done by voluntary or


compulsory method.

In Voluntary arbitration, if a dispute arose between


the two Parties and they are unable to resolve their
differences by themselves, thereby the parties
agreeing to present their Dispute to the fair
authority and the decision will be binding upon
both parties

Whereas Compulsory arbitration, is the method


where the parties are required to accept arbitration
without any willingness on their part.

Role of a Mediator:
 The main role of a mediator is to facilitate
communication between both the parties.
 Setting up a meeting between both the parties-
after the appointment of the mediator, it is
necessary for the mediator to setup a date which
is convenient to both the parties.

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 Review the mediation proceedings – in the first
meeting the mediator requests the parties to
jointly sign a form that mentions the rules and
framework of the proceeding. Then he goes
ahead with explaining how the mediation
proceedings are going to happen.
 He also invites the parties to give a brief
description of the facts from both their
perspectives.
 He then discusses about the issue in hand and
tries to come up with a solution which is viable
to both the parties

Duties of a Mediator:
 Code of Conduct- the mediator has to follows
the rules and regulation. He should not indulge
in anything which is not within the preview of
the case.
 Impartiality- it is necessary for a mediator to be
impartial. He cannot favour one particular
party. If the mediator is found to partial to one
party, he shall be substituted by another
mediator. It is also necessary for the mediator
to disclose to the parties that there is no conflict
of interest.

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 Confidentiality- the act specifies that all the
information from the mediation proceedings
should be kept confidential. The mediator has
the right t provide the court with the
information about the proceedings, provided
that the parties have given a written consent.

Section 7- Arbitration Agreement:


(1) In this Part, “arbitration agreement” means an
agreement by the parties to submit to arbitration all
or certain disputes which have arisen or which
may arise between them in respect of a defined
legal relationship, whether contractual or not.
(2) An arbitration agreement may be in the form of
an arbitration clause in a contract or in the form of
a separate agreement.
(3) An arbitration agreement shall be in writing.
(4) An arbitration agreement is in writing if it is
contained in—
(a) a document signed by the parties;
(B) an exchange of letters, telex, telegrams or
other means of telecommunication which
provide a record of the agreement; or

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(c) An exchange of statements of claim and
defence in which the existence of the agreement
is alleged by one party and not denied by the
other.

Section 8 -- Power of court to refer the parties


to arbitration:

The Supreme Court or, as the case may be, the


High Court or the person or institution designated
by such Court, before appointing an arbitrator,
shall seek a disclosure in writing from the
prospective arbitrator

Jurisdiction of arbitration tribunal

Some matters are specifically barred from being


referred to arbitration. Such matters include the
winding up of a company, a declaration of
insolvency, matrimonial disputes, testamentary
disputes, criminal matters, or matters that are
expressly excluded from the scope of arbitration.

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BIBLOGRAPHY:

Gazzate of india

Alternative dispute redressal act :

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Thank You

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