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The Arbitration and Conciliation Act 1996 In One Shot (Alternative Dispute Resolution) | Apurva vats

Adda247 Judiciary・2 minutes read

The text discusses Alternative Dispute Redressal (ADR), such as arbitration, mediation, and conciliation, as a platform outside of courts for resolving disputes efficiently, aiming to reduce the burden on courts and prevent conflicts from escalating. ADR methods like arbitration and mediation play crucial roles in resolving disputes amicably, offering advantages like flexibility, speed, and cost-effectiveness for various types of disputes and providing a fair and neutral settlement within a structured process under the Arbitration and Conciliation Act.

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ADR, or Alternative Dispute Redressal, offers methods like arbitration, mediation, and litigation outside of courts to efficiently resolve disputes, especially in family and civil matters.
Mediation, a key ADR method, focuses on facilitating settlements in family disputes and aims to break communication barriers between parties for effective problem-solving.
The Arbitration and Conciliation Act of 1996, replacing previous laws, governs arbitration proceedings, emphasizing the importance of written agreements, valid documents, and specific terms for enforceability.
Lok Adalat, a part of the ADR system based on Gandhian principles, resolves various legal disputes quickly and efficiently, providing binding decisions similar to civil court decrees without the option for appeal.

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What is Alternative Dispute Redressal?
A platform outside courts for resolving disputes quickly.

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Summary

00:00

Importance of Alternative Dispute Redressal for Students

Alternative Redressal Mechanism is an important subject for students, particularly those preparing for exams like AI B.
Alternative Dispute Redressal, also known as ADR, provides a platform outside of courts for resolving disputes quickly.
ADR includes methods like arbitration, negotiation, mediation, and litigation for resolving disputes efficiently.
Family courts often use mediation to facilitate settlements between parties, especially in cases like divorce or property disputes.
ADR aims to reduce the burden on courts by offering alternative platforms for resolving disputes.
Mediation centers play a crucial role in breaking communication barriers between parties and facilitating settlements.
ADR methods like arbitration involve neutral arbitrators who make decisions based on rights and liabilities of parties involved.
ADR helps in creative problem-solving by listening to both parties and finding solutions that suit all involved.
ADR is particularly useful for civil matters, family disputes, personal injury cases, employment disputes, commercial disputes, consumer disputes, and property disputes.
Practice and revision are essential for understanding and effectively utilizing ADR methods for quick and efficient dispute resolution.

15:55

Evolution and Importance of Alternative Dispute Resolution

ADR is accessible for various types of disputes, with a history of informal bodies intervening before the King adjudicated disputes.
The Village Panchayat in India flourished due to the Central Government's refusal to entertain suits initially, leading to the Legal Services Authorities Act in 1987.
The Arbitration and Conciliation Act of 1996 was passed after the failure of the Arbitration Act of 1940, with an amendment in 1999 to section 89 of the CPC.
ADR offers advantages such as flexibility, speed, and cost-effectiveness, with arbitrators charging fees ranging from 5 to 10 lakhs depending on the case.
ADR prevents conflicts from escalating into wars, emphasizing the importance of settling disputes amicably through arbitration.
ADR involves party autonomy, allowing for informal communication and frank discussions to reach compromises and resolve disputes.
ADR includes arbitration, conciliation, and mediation, with Lok Adalats offering settlement options through penalty payments.
Section 89 of the CPC mandates recourse to ADR if a case is unsuited for court, with Order 10 Rule 1 directing parties to opt for ADR.
Failure in ADR leads to reappearing in court, with legal provisions ensuring reasons for not resorting to ADR are recorded.
Arbitration requires a valid agreement between parties, with limited rights of review and appeal for arbitration awards, balancing advantages and disadvantages for parties involved.

32:20

Arbitration and Mediation: Resolving Disputes Efficiently

Going to court requires the right to do so, with the option of arbitration being a mandatory step before court access.
Arbitration is essential for resolving disputes, with parties being required to follow this process before considering court action.
Arbitration has disadvantages, such as limited rights for review and appeals, high fees, and limited venues for overturning decisions.
Despite the drawbacks, arbitration and mediation are effective in resolving disputes efficiently and effectively.
Mediation involves informal negotiation facilitated by a mediator, aiming to reach a settlement between parties.
Mediators cannot propose solutions but guide discussions towards a mutually agreeable resolution.
Mediation helps in overcoming communication barriers and emotional issues between parties, leading to a non-binding resolution.
The Arbitration and Conciliation Act of 1996 replaced previous laws on arbitration, unifying regulations under one legislation.
The Act outlines the process of arbitration, including the role of arbitrators, the voluntary nature of arbitration, and the binding nature of awards.
Understanding the Act's important sections is crucial for those preparing for judiciary exams, as questions often focus on these key areas.

48:43

"International Commercial Arbitration: Resolving Trade Disputes Efficiently"

The text discusses the United Nations Commission on International Trade Law adopting a Model Law on International Commercial Arbitration Act in 1985.
The purpose of the act is to resolve disputes and conflicts that may arise in international trade between countries or organizations.
The General Assembly of the United Nations advises all member countries to adopt the law to reduce litigation and provide an easy remedy through arbitration.
The Law Commission of India emphasized the need for changes in the existing laws to have a codified law for arbitration.
The Arbitration and Conciliation Act was passed by the Indian Parliament in 1996 to govern arbitration proceedings.
The act aims to provide a fair and neutral settlement, avoiding technicalities that occur in court proceedings.
Arbitration allows for international commercial disputes to be resolved without the need for national laws, benefiting organizations with contracts with foreign entities.
The act defines the powers, roles, and work area of arbitrators, ensuring a structured process for arbitration proceedings.
The arbitration agreement must be in writing and signed by both parties, ensuring free consent and a legal relationship between them.
The text emphasizes the importance of valid documents, past disputes, and specific terms in the arbitration agreement to ensure its enforceability.

01:03:42

Arbitrator Appointment Process and Disqualification Reasons

The number of Arbitrators is decided by the parties themselves.
Roles and responsibilities are determined by the parties.
If the parties fail to agree on an appointment, the Court will make the appointment.
A list of arbitrators is available within the court or through commercial companies.
Family disputes often lean towards mediation rather than arbitration.
Appointments must be made within 30 days of the request.
The Arbitral Tribunal may consist of a single arbitrator or a chairman in cases with multiple arbitrators.
The tribunal supervises the arbitrators and ensures proper proceedings.
There are two ways to appoint arbitrators: through mutual agreement or selection.
Disqualification of arbitrators can occur due to various reasons, leading to termination of proceedings.

01:20:48

Challenging Arbitration Awards: Grounds, Fees, Limitations

Grounds for challenging an arbitration award must be present to appeal it.
Without valid grounds, challenging the arbitration award is not possible.
Legal fee structures for arbitration are fixed by law and vary based on the type of arbitration.
Institutional arbitration fees are prescribed by the institution and may differ for government-based arbitrations.
The Limitation Act applies to arbitration, determining the time frame for legal actions.
The limitation period for arbitration varies from one to three years based on the nature of the dispute.
Arbitrators must be independent, impartial, and neutral, with specific qualifications.
The appointment of arbitrators can be challenged under specific sections of the Arbitration Act.
Parties can object to civil court proceedings if there is a valid arbitration agreement in place.
Breach of valid jurisdiction clauses can impact the arbitration process, leading to civil proceedings.

01:37:01

Arbitrator: Independent Third Party Resolving Disputes

An arbitrator is chosen to resolve disputes between individuals or organizations based on their behavior.
The arbitrator is an independent third party who listens to evidence, applies the law, and decides the outcome of the arbitration proceeding.
The arbitrator can be of any nationality and must have expertise in the field related to the dispute.
Qualifications for becoming an arbitrator include being a former judge, lawyer with specific knowledge, or an expert in a relevant field.
The parties are free to choose the arbitrator and must ensure an odd number of arbitrators for fair decision-making.
If parties do not appoint their own arbitrator, the Chief Justice can designate one within 30 days.
The arbitrator has the power to give interim, temporary, and permanent awards during the arbitration proceeding.
The arbitrator can appoint experts to examine documents, goods, or property related to the dispute and prepare reports.
The expert's report can assist the arbitrator in making decisions and resolving the issue.
The arbitrator must remain impartial, avoid conflicts of interest, and maintain transparency in all proceedings.

01:52:46

"Arbitration Challenges and Lok Adalat Resolution"

Arbitrators can be brought in to handle various tasks related to arbitration.
Parties should mention the arbitration clause before appointing arbitrators.
The arbitration agreement can be challenged if breached.
Grounds for challenging arbitration awards include incapacity, invalid agreements, and improper procedures.
Challenges to arbitration awards can be time-consuming and expensive.
Some courts in India resolve challenges quickly, but delays can still occur.
Lok Adalat is a people's court based on Gandhian principles.
Lok Adalat is part of the Alternative Dispute Resolution system.
Lok Adalat deals with various cases, including civil, criminal, revenue, matrimonial, and family disputes.
Lok Adalat aims to provide a quick and efficient resolution to legal disputes.

02:12:06

"Efficient Lok Adalat Resolves Disputes"

Mutation in Hindi is called "Cases Ho Land Path Land Paths Cases Ho Bound Labor cases, land acquisition disputes Ho Bankers Unpaid Loan Cases Ho Areas Off Retirement benefit cases should be family court cases or cases which are not subsidized."
Lok Adalat was needed based on Gandhiji's principles to resolve disputes and minimize litigation, saving time and expenses for parties involved.
Lok Adalat is established under Section 19 of the Legal Services Authority Act, with specific provisions for its constitution and operation by State Authorities, District Authorities, Supreme Court, and Legal Services Committees.
Lok Adalat comprises judges, judicial officers, or retired judges who resolve disputes through compromise and settlement, with qualifications and experience determined under Section 19314 of the Act.
Lok Adalat operates by hearing cases brought before it, allowing parties to compromise and settle, with decisions being binding and having the same effect as civil court decrees, without the option for appeal.

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