Category: Mediation and Negotiation

ISSUE:

Whether the court can refer the dispute with regards to ownership of a piece of land between the Hindu community and Muslim Community in Ayodhya, Uttar Pradesh, to mediation under Section 89 of the Code of Civil Procedure, 1908?

RULE:

Section 89 of the Code of Civil Procedure, 1908 gives the power to the court to refer a dispute to arbitration, conciliation, judicial settlement or mediation if it is of the opinion that there are elements of settlement between the parties.

Order I Rule 8 and Order 23 Rule 3B of Code of Civil Procedure overlooks representative suits and requires that all parties are to be notified of any compromise, which is subject to the court’s approval, in order to maintain fairness.

ISSUE:

Is there any harm in mediating domestic violence related cases without court order?

RULE:

A victim must be informed about her right to choose her course of action and be guided about her legal rights under the Act and there shall be no pressure upon her to settle her claim or grievance.

ISSUE:

Whether it is permissible to refer a criminal matter such as under section 138, for settlement through mediation?

What would be the consequences of the breach of such settlement accepted by the Court?

RULE:

Even though the statute i.e. Section 138 of the Negotiable Instruments Act (NI Act) is punitive in nature; its spirit, intendment and object is to provide compensation and ensure restitution and these are the aspects which must receive priority over punishment. The proceedings under Section 138 of the NI Act are therefore, distinct from other criminal cases.