Rajya Sabha Passes Mediation Bill 2021
- 04 Aug 2023
On 1st August, the Rajya Sabha approved the Mediation Bill 2021, emphasizing the use of mediation for resolving civil or commercial disputes before resorting to courts or tribunals.
Key Points:
- Focus on Alternative Dispute Resolution through Mediation: The bill aims to promote and facilitate institutional mediation, ensure the enforcement of mediated settlements, establish a Mediation Council of India, and encourage community and online mediation
- The Mediation Bill promotes the use of mediation as an alternative dispute resolution mechanism, allowing parties to attempt settlement before approaching courts or tribunals.
- Voluntary Pre-Litigation Mediation and Timeframe: The bill makes pre-litigation mediation voluntary rather than mandatory, encouraging constructive dialogue and burden reduction on the judiciary system.
- Parties have the option to withdraw from the mediation process after two sessions, and the mediation process must be completed within a maximum of 180 days, extendable for an additional 180 days if needed.
- Role of the Mediation Council of India: The establishment of the Mediation Council of India is crucial for effective mediation by registering mediators and recognizing mediation service providers and institutes.
- The council aims to ensure the availability of qualified mediators for facilitating dispute resolution.
- Legally Binding Agreements from Mediation: Agreements resulting from mediation will be treated as legally binding, providing confidence in the efficacy of the mediation process.