Professional Documents
Culture Documents
Book Report
ALTERNATIVE
DISPUTE
RESOLUTION
Your Name
4th September, 20XX
1
ADR (alternative dispute resolution) usually describes dispute resolution where an independent
person (an ADR practitioner, such as a mediator) helps people in dispute to try to sort out the
issues between them. ADR can help people to resolve a dispute before it becomes so big that a
court or tribunal becomes involved. ADR can be very flexible and can be used for almost any kind
of dispute.
Using ADR can Help you to resolve all or some of the issues in your dispute
Help you to achieve outcomes that work for everyone involved in the dispute.
Resolving your dispute through ADR is different from asking a court or tribunal to resolve your
dispute. Using ADR to resolve your dispute can benefit everyone. It means that courts and
tribunals can spend their time considering disputes that need a court or tribunal decision.
ADR processes can be less expensive than other ways of resolving your dispute. Going to court
can be very expensive. Tribunals can be less expensive but can still involve hearings and legal
costs if you are represented.
ADR processes and outcomes focus on what is important to you and the other people involved.
Courts and tribunals focus on legal rights. ADR processes may help you and other people to
maintain relationships .
2
It is generally presumed that the commonly prevalent system of Government in Ancient India was
monarchy and instances of republic were either exceptions or aberrations. The view is based on
the apparent perception that since there were kings in ancient India, the system was that of
monarchy.
In earlier times, disputes were peacefully decided by intervention of kulas (family or clan
assemblies), srenis (guilds of men following the same occupation), parishads (assemblies of
learned men who knew law) before the king came to adjudicate on disputes. The political system
of the Aryans in their initial days here was amazingly complex, though quite ingenious. They hung
around together in small village settlements (which later grew to kingdoms) and the basis of their
political and social organization was, not surprisingly, the clan or kula. Being of somewhat militant
nature, this was very much a patriarchal society, with the man in the house expected to keep his
flock in control. Groups of kulas together formed a Grama or village, which was headed by a
Gramina. Many villages formed another political unit called a Visya, headed by a Visyapati. The
Visyas in turn collected under a Jana, which was ruled by a Rajana or king. However, the precise
relationship between the grama, the visya and the Jana has not been clearly defined anywhere.
In ancient India, there were several grades of arbitration, for example the Puga or a board of
persons who belonged to different sects and tribes but lived in the same locality; the Sreni or
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assemblies of tradesmen and artisans belonging to different tribes but connected in some way
with each other, the Kula or groups of persons bound by family ties. From early times, the
decisions of Panchayats were accepted as binding. According to Colebrooke (an English scholar
and commentator on ancient Hindu law), Panchayats were different systems of arbitration
subordinate to the regular courts of law. The decision of a Kula or kin group was subject to
revision by the Sreni which, in turn, could be revised by the Puga. From the decision of the Puga,
appeal was maintainable to Pradvivaca and finally to the sovereign and the prince.
It is important to note that in ancient India joint families were the order of the day and they were
usually very large. When therefore, a disagreement or dispute used to take place between two
members of a family, it was usually settled by its elders. If they failed to bring about any
compromise, the sreni or the guild courts used to intervene. Srenis or guilds became a prominent
feature of commercial life in ancient India from 500 B.C. They were well organized and had their
own executive committees of four or five members.
The Mughals had three separate judicial agencies, all working at the same time and independent
of each other. Those were the courts of religious law, court of secular law, and political courts. As
regards the courts of religious law, those were presided over by the Qazis who decided cases
according to Islamic law. As regards the courts of secular law, they were presided over by
Governors, Faujdars and Kotwals. In the time of Akbar, Brahmans were appointed to decide the
cases of Hindus. The Panchayats also fell under this category. The courts of secular law were not
under the thumb of the Qazi. Political courts tried political cases like rebellion, rioting, theft,
robbery, murders, etc. They were presided over by Subahdars, Faujdars Kotwals, etc.
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Mughal emperors had keen interest to deliver speedy justice to its citizens. The justice system
placed even senior officers within the law, and perhaps the only person really above the law was
the emperor himself. Most villagers however resolved their cases in the village courts itself and
appeal to the caste courts or panchayats, the arbitration of an impartial umpire (salis), or by a
resort to force”. The punishments were fairly severe, ranging from imprisonment to amputation,
mutation and whipping. The approval of the emperor was however mandatory for capital
punishment. In the Mughal judicial system, the emperor was the final court of appeal.
The system of alternate dispute redressal was found not only as a convenient procedure but was
also seen as a politically safe and significant in the days of British Raj. However, with the advent
of the British Raj these traditional institutions of dispute resolution somehow started withering
and the formal legal system introduced by the British began to rule.
Alternate Dispute Resolution in the present form picked up pace in the country, with the coming
of the East India Company. Modern arbitration law in India was created by the Bengal
Regulations. The Bengal Regulations of 1772, 1780 and 1781 were designed to encourage
arbitration.[3] Bengal Resolution Act, 1772 and Bengal Regulation Act, 1781 provided parties to
submit the dispute to the arbitrator, appointed after mutual agreement and whose verdict shall be
binding on both the parties. Hence, there were several Regulations and legislation that were
brought in resulting considerable changes from 1772. After several Regulations containing
provisions relating to arbitration Act VIII of 1857 codified the procedure of Civil Courts except
those established by the Royal Charter, which contained Sections 312 to 325 dealing with
arbitration in suits. Sections 326 and 327 provided for arbitration without the intervention of the
court.
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After some other provisions from time to time Indian Arbitration Act,1899 was passed, based on
the English Arbitration Act of 1889. It was the first substantive law on the subject of arbitration but
its application was limited to the Presidency – towns of Calcutta, Bombay and Madras. Act,
however suffered from many defects and was subjected to severe judicial criticisms.
The Arbitration Act of 1940 was enacted replacing the Indian Arbitration Act of 1899 and section
89 and clauses (a) to (f) of section 104(1) and the Second Schedule of the Code of Civil Procedure
1908. It amended and consolidated the law relating to arbitration in British India and remained a
comprehensive law on Arbitration even in the Republican India until 1996.
Act, 1955 as also under Section 34 (3) of the Special Marriage Act, 1954 are made. Family Courts
Act was enacted in 1984. Under Family Courts Act, 1984 it is the duty of the family court to make
efforts for settlement between the parties.
Introduction of section 89 and Order X Rule 1A, 1B and 1C by way of the 1999 Amendment in the
Code of Civil Procedure, 1908 is a radical advancement made by the Indian Legislature in
embracing the system of “Court Referred Alternative Disputes Resolution”.
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Weight of Pendency
The need for finding alternatives arises due to the working of the present system of
administration of justice, which is crumbling under the weight of the pending cases.
Other reasons
Jurists have suggested that the reduction in the number of holidays of courts, and an increase in
the working of days. At present the court are working for 210-230 days per year, with a fairly long
summer vacation. If courts work for longer hours and days, litigation can be brought under
control.
Adjournments
Unnecessary adjournments also extend the life of litigation. The process of adjournment, on
frivolous grounds, is one of the major reasons for increase in delay. There is a need to evolve a
set of guidelines for granting adjournments, and a framework for the settlement of dispute should
be designed.
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To overcome such problems, the law commission of India set up to reform the ‘justice delivery
system in India’, time in time came up with the solutions and suggestions, and these are:
The Law Commission of India, 117th Report in the year 1986, talks on the ‘training of judicial
officers’ so that the huge backlog of cases can be managed. The law officers should be trained
as per modern methods of dispute resolution, so as to re-establish the credibility on justice
delivery system in India and to restructure judiciary on all levels in India.
The 221st Law Commission of India, in the year 2009 came up with their report on ‘Need for
Speedy Justice – Some Suggestions’ since there was Mounting of arrears of cases in courts,
particularly in High Courts and District Courts, has been a cause of great concern for litigants as
well as for the State. It is a fundamental right of every citizen to get speedy justice and speedy
trial which also is the fundamental requirement of good judicial administration. In this Report, they
have made few proposals which when given effect to, will be helpful not only in providing speedy
justice but also in controlling frivolous, vexatious and luxurious litigations.
Several amendments have been suggested, In order to shorten the delay in disposal of cases, it
is necessary that provisions parallel to section 80 CPC be introduced for all kinds of civil suits and
cases proposed to be filed by a litigant.
The 222nd Report of the Law Commission of India on the subject- Need for Justice-dispensation
through ADR etc came up in 2009 “To keep under review the system of judicial administration to
ensure that it is responsive to the reasonable demands of the time and in particular to secure:-
(i) Elimination of delays, speedy clearance of arrears and reduction in costs so as to secure quick
and economical disposal of cases without affecting the cardinal principle that decision should be
just and fair.
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(ii) Simplification of procedure to reduce and eliminate technicalities and devices for delay so that
it operates not as an end in itself but as a means of achieving justice.
This report was in the continuum of the Law Commission’s various earlier reports on the subject
of judicial administration. Hence, it is the execution of the saying that Justice must be effective,
speedy, less costly and non-cumbersome.
The recommendations of law commission were adopted and incorporated in Rules 1-A, 1-B and
1-C of Order X of the CPC.
Law Commission of India (report no. 230) on ‘Reforms in the judiciary – some suggestions’ The
recommendations in this Report are the suggestions made by the Hon’ble Shri Justice Ashok
Kumar Ganguly, former Judge of the Supreme Court, these recommendations are:
There must be full utilization of the court working hours. The judges must be punctual and
lawyers must not be asking for adjournments, unless it is absolutely necessary. Grant of
adjournment must be guided strictly by the provisions of Order 17 of the Civil Procedure Code.
Judges must deliver judgments within a reasonable time and in that matter, the guidelines given
by the apex court in the case of Anil Rai v. State of Bihar,[4] must be scrupulously observed both
in civil and criminal cases.
Considering the staggering arrears, vacations in the higher judiciary must be curtailed by at least
10 to 15 days and the court working hours should be extended by at least half an hour.
Law commission of India in its 240th report in the year 2012 on ‘Costs in Civil Litigation’ also
suggested some measures. The Law Commission has taken an in-depth study and had
interaction with the judicial officers and lawyers at the conference held in some of the States.
The Rules of various High Courts governing taxation of costs and advocate’s fee have been
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pursued. Keeping in view the triple goals of (i) ensuring realistic and reasonable costs to the
successful party, (ii) curbing false and frivolous litigation and (iii) discouraging unnecessary
adjournments, the recommendations have been made. To felicitate expeditious realization of
costs pending appeals, amendments to law has been suggested. As per the recommendations,
certain legislative changes in CPC have been proposed. Amendments to Section 35A
(compensatory costs for false and frivolous litigation), S. 95 (compensation for obtaining arrests,
attachment, etc., on insufficient grounds), Order XXV (security for costs), Order LXI (appeals from
original decrees), Order XX, Rule 6A (preparation of decree), have been suggested.
The object of Section 89 of the Code of Civil Procedure is that settlement should be attempted
by adopting an appropriate Alternative Dispute Redressal process. Neither section 89 nor Order
X, rule 1A of the CPC is intended to supersede or modify the provisions of the Arbitration and
Conciliation Act or the Legal Services Authorities Act, 1987.
Section 89 of the CPC makes it clear that two of the ADR processes (i.e. Arbitration and
Conciliation) will be governed by the Act of 1996. And two others i.e. Lok Adalat and mediation is
governed by the Legal Services Authorities Act, 1987. Section 89 of the CPC cannot be take
recourse unless all parties concerned give consent.
Insight into Indian Judicial System: Backlog of Cases and Crisis of Judges
Today when more than two and a half crores (As per the Ministry of Law and Justice press
release 48,838 cases are pending in Supreme Court, 38,82,074 cases pending in the High Court
and 2,52,40,185 are pending in subordinate courts as on 31.1.2008) of cases pending in our
courts, that means at least five crore people are directly involved in litigation that about 4 percent
of our population, and we have only 12,500 judges at lower court level and about 647 judges at
various High Court and 26 judges in the Supreme Court of India.
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Our Justice Administration system is “adversarial” in nature in which there are two parties and
they are face to face with each other in the Court, and we have seen that it’s not the legal issues
which are involved in most of the cases put before us rather its ego which come in between and
it ultimately ends in blood amongst the litigants, and hatretism.
It is also observed that our courts have very limited time for example 10:00 AM to 5:00 PM
we are in Court but during that time we have to manage out time for various things like signing of
files, and day to day orders, meetings, compliances of directions of higher courts, and other
miscellaneous work, which a judge has to see.
The time-consumption is the structural property of our legal system. Hence, this results in a large
number of case backlog. The ‘delay’ is caused by 1) State, 2) Courts, 3) litigants.
The ‘state’ contributes to the crisis by its own lack of priority for matters relating to the
administration of justice. The judicial appointments are held up for no valid reasons; this was
made clear by Shah Committee Report. Another related aspect of judicial appointments concerns
the quality of judges appointed to the higher judiciary. The state failed in its duty by not providing
realistic assessment of the judicial manpower needed for maintaining an efficient and a just
justice administration.
The ‘Court’ contributes to the crisis, the lack of court management procedures do contribute to
the growing arrears. The failure to maintain a proper notice of ready cases, failure to provide
priority for old cases, failure to bunch together cases involving substantially similar points of law
contributed to delay and arrears in the High Courts.
The ‘Litigants’ also contributes to the crisis, senior lawyers, in whose hands the work is heavily
concentrated, contribute to delay and arrears by their non-availability and unpreparedness. They
attitude is a big concern, which revolve around the generation of money by delaying the matter
and getting the future dates.
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Hence, the legal system or atleast the practitioners and academicians tries to shift to another way
of settlement of dispute.
ADR v. Litigation
In arbitration, the parties can settle their dispute outside the traditional courtroom, while a
litigation process is done inside the court of law.
In arbitration, the lawyers may or may not be involved while in litigation the actions before judge
is brought by lawyers only.
Arbitration is a private method of dispute resolution in which the parties select the individual or
individuals who will finally decide the matters in issue following a process agreed upon by the
parties, with no or a minimum of court intervention, while this is the case in litigation.
In litigation, judges do not always have technical competence, while in arbitration the parties can
select an expert in a field to be appointed as an arbitrator.
Arbitrators are generally expected to spend more time on a case than judges usually can. This is
valuable in complex matters and may result in better decisions.
Arbitrators often, and in principle have more flexible schedules than judges and can make
themselves available in the evenings or during holidays.
May diminish bias in favour of small litigants in big litigant vs. small litigant dispute. An arbitrator
may have more independence than many judges may have
Arbitration is a less formal type of dispute resolution, while litigation is traditional, and formal,
form of dispute resolution.
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Conciliation
Conciliation is a process in which a third party assists the parties to resolve their disputes by
agreement. A conciliator may do this by expressing an opinion about the merits of the dispute to
help the parties to reach a settlement. Hence, conciliation is a compromise settlement with the
assistance of a conciliator.
Mediation
Mediation is a process for resolving disputes with the aid of an independent third person that
assists the parties in dispute to reach a negotiated resolution. Mediation is the acceptable
intervention into a dispute of a third party that has no authority to make a decision.
Negotiation
Negotiation is a process by which parties resolve their disputes. They agree upon a course of
action and bargain for advantage. Sometimes, they try to adopt such a creative option that serves
their mutual interests. Because of its mutual advantages, people negotiate in almost all walks of
life, from home to the courtroom.
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Lok Adalat
Lok Adalat generally means the people’s court. It is not a court in strict sense of term, nut it is a
forum where voluntary efforts are made for settlement of disputes between the parties. In other
words, Lok Adalat is a forum of Alternative Dispute Resolution (ADR). This system based on
gandhian principles. It provides an alternative resolution or device for expeditious and
inexpensive justice.
Gram Nyayalayas
Gram Nyayalayas is an Alternative form of dispute resolution. The Gram Nyayalayas is the latest
in the reforms in the structure of the Indian judiciary. This system provides speedy justice. The
Gram Nyayalayas as a different court was proposed by the 114th Law Commission
(lawcommissionofindia.nic.in) way back in 1986. This model of adjudication will be best suited for
rural litigation. The Law Commission observed that such a court would be ideally suited for the
villages as the nature of disputes coming before such a court would be ‘simple, uncomplicated
and easy of solution’ and that such disputes should not be enmeshed in procedural claptrap.
The Virtual Magistrate Project, launched in 1996, initiated the idea of using ADR to resolve
Internet-related disputes. The joint statement promoting the use of ADR in cyberspace, made by
the European Union and the United States at a summit in Washington D.C. on December 18,
2000, set the ball rolling. Since then, various entities, including governments, consumer groups,
lawyers, academia, and international organizations have been catapulted into arriving at an
effective means to implement ADR globally on the Internet.
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The Online Ombuds Office (OOO) began in June 1996 as a “mediation service aimed at
disagreements that arise from a broad array of online activities. The OOO currently exists as the
“dispute resolution arm of the Center, working to employ and develop online dispute resolution
resources.
WIPO is the leading accredited domain name dispute resolution provider under the Uniform
Domain Name Dispute Resolution Policy (UDRP) adopted by the Internet Corporation for
Assigned Names and Numbers (ICANN). The domain name case is usually concluded within two
months using online procedures. The WIPO arbitration award, however, is not binding, and either
party can take the case before a court within ten days of the decision. The WIPO process has
been very successful in settling domain name disputes.
SquareTrade
Founded in 1999, Square Trade is another popular online ADR service provider that offers a
forum to mediate e-commerce consumer disputes. Once the buyer or seller files a complaint with
the site, SquareTrade notifies the other party of the complaint. The parties first attempt to resolve
the dispute through direct negotiation, during which they can request the assistance of a
mediator. The mediator assists the parties in reaching a fair and mutually agreeable settlement
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and recommends a solution upon the parties’ request. The parties ultimately reach a settlement
agreement based on the direct negotiation or mediation. However, the traditional legal system is
always open to the parties who participate in the Square Trade resolution process.
com
Online disputes typically arise in relation to material that is displayed or available online. Some of
the types of disputes that could be resolved using online ADR mechanisms are:
E-Commerce Disputes
Monetary Disputes
Benefits of ADR
To give a quick, effective relief to the people of India introduction of alternative dispute resolution
for disposal of cases expeditiously is the urgent need of the day. The benefits which accrue from
ADR are:
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It is a more time-saving process to resolve the dispute compared with traditional court-practice
and procedure
Presence of lawyer is not necessary. The lawyer can assist the court and help the parties to
understand the complicated question of law or issues involved in the process
Parties have every right to approach the court when they fail to arrive at a settlement
Statement of the parties cannot be used as an admission in court proceedings if the parties fail to
arrive at the conclusion
Technicalities of law and procedure, rules of evidence have no place in ADR mechanism
Parties can take the help of a neutral person specialized in the field of the subject which is the
subject-matter of dispute
[1] Dr. Shraddhakara Supakar, Law of Procedure and Justice in Ancient India, Deep & Deep
Publication, New Delhi, 1986.
[2] Sarvesh Chandra, ADR: Is Conciliation the Best Choice, in P.C. Rao and William Sheffield (eds.),
Alternative Dispute Resolution: What it is and How it Works, Universal Law Publishing Co., New
Delhi, (1997) p. 85
[3] Nripendra Nath Sircar, Law of Arbitration in British India (1942), p. 6 cited in 76’th Report of Law
Commission of India, 1978, p. 6, para 1.14
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[5] Ronald Berstein Derek Wood in Handbook of Arbitration Practice, 2nd Edn., P.9.
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