The Parliamentary Standing Committee on Law and Justice is initiating significant amendments in the Mediation Bill, 2021. Introduced in the Rajya Sabha in December last year, the bill aims to diminish case backlogs in courts. Upon its introduction, the Rajya Sabha Chairman ordered an examination of the bill.
Issues Underlined By The Panel
The committee accentuated several crucial issues such as the mandatory and coercive nature of pre-litigation mediation. The implementation of compulsory pre-litigation mediation could result in case deferrals and supply another tool for delinquent litigants to extend case resolution. Furthermore, the panel objected to the draft’s clause 26, which empowers the Supreme Court or the High Court to enact laws of pre-litigation mediation. They also questioned the bill’s non-applicability to non-commercial disputes involving the Government and its agencies. Issues concerning the qualifications and appointment of the Chairperson and Members of the proposed Mediation Council were also brought up for discussion.
Committee Recommendations
The panel recommended making pre-litigation mediation optional and gradually implementing it rather than introducing it immediately for all civil and commercial disputes. While doing so, the execution of pre-litigation mediation under the Commercial Courts Act, 2015, should be analyzed. As for the appointment of the council chairperson, the Central Government can appoint them through a selection committee. To relieve the Mediation Council of India from its vast range of duties, State Mediation Councils should be established in each state, operating under the supervision, direction, and control of the national council.
Fresh Guidelines For The Mediation Council
The committee suggested that each mediator should be provided with a unique registration number by the Mediation Council. Regular training sessions should be held to continuously evaluate the mediator, ensuring they earn a minimum number of credit points yearly to remain eligible for mediation. Rather than multiple bodies registering mediators, the proposed Mediation Council of India should be the central authority for registration and accreditation of mediators.
Amended Time Frame and Definitions
The panel advised reducing the time limit from 180 days to 90 days with a further extension period of 60 days. They also called for reframing the new definition of mediation without placing it separately under clause 4 since it is already listed in clause 3.
Major Aspects of the Mediation Bill, 2021
The goal of the bill is to resolve civil or commercial disputes through mediation before resorting to courts or tribunals. After two mediation sessions, parties may withdraw from the mediation. The mediation procedure must be completed within 180 days, extendable by another 180 days. The India Mediation Council will oversee the entire process, including responsibilities like registering mediators and recognizing mediation service providers and institutes. Agreements resulting from mediation will be binding and enforceable like court judgments.
What is Mediation?
Mediation is a consensual, binding process where a neutral mediator facilitates disputing parties towards a settlement. The mediator does not dictate a solution but creates an environment conducive for the parties to settle their differences. As a successful alternative method of dispute resolution, mediation has been proven effective in cities such as Delhi, Ranchi, Jamshedpur, Nagpur, Chandigarh, and Aurangabad. Mediation, along with other dispute resolution methods like Arbitration, Negotiation, and Conciliation, is considered a form of Alternative Dispute Resolution (ADR) offering an alternative to litigation. ADR proceedings can either be initiated by the involved parties, mandated by legislation, courts, or contractual provisions.
Last Modified: February 15, 2024