Mediation As A Good Judicial System And A Need Of The Hour: Challenges And Implications

The Indian legal system has long aimed to deliver complete justice. However, the massive backlog of cases and delays in court procedures have created a need for alternative methods of dispute resolution. Mediation, where a neutral third party helps disputing parties reach an agreement, has emerged as an effective solution. This research paper looks at the role of mediation in India's legal system, examines the challenges it faces, and discusses its legal basis and implications. It also provides recommendations to make mediation a more accessible and practical method of justice.
 
Introduction
India's Constitution highlights the importance of justice. Article 14[i] talks about equality before the law, and Article 39A[ii] calls for equal justice and free legal aid. Section 89 of the Code of Civil Procedure (CPC), 1908[iii], allows courts to refer disputes to ADR methods, including mediation. The Legal Services Authorities Act, 1987[iv], promotes mediation through Lok Adalats.

Though India has adopted mediation models from countries like the U.S. and Singapore, it has not become a mainstream option. The slow adoption of mediation suggests that there are legal, social, and administrative hurdles. This paper explores the potential of mediation and how it can help reform the justice system in India.

Concept and Evolution of Mediation

Indian society has always preferred settling disputes through discussion and consensus. Traditional village councils (Panchayats) used informal methods, which are now formalized in modern mediation. Mediation is a private, voluntary, and non-adversarial process that focuses on dialogue and mutual agreement, often preserving relationships.

Several Indian laws recognize mediation. The Arbitration and Conciliation Act, 1996[v], includes conciliation, which is similar to mediation. Section 442 of the Companies Act, 2013[vi], allows for mediation by NCLT. The Commercial Courts Act, 2015 (Section 12A) [vii] mandates mediation before filing certain commercial suits. The Consumer Protection Act, 2019[viii], also provides for mediation cells in consumer courts.

Mediation's Role in the Judiciary

Indian courts face a backlog of over 45 million cases. Mediation can help by offering a fast, affordable, and simple resolution process. It is particularly useful in civil, commercial, matrimonial, and family disputes. Unlike formal court procedures, mediation avoids rigid technicalities and often does not require lawyers. The Courts in India have also supported mediation through important judgments:
  • In Afcons Infrastructure Ltd. v. Cherian Varkey Construction Co. (2010), the Supreme Court clarified the courts' duty to refer disputes to mediation under Section 89 CPC.
  • In M.R. Krishna Murthi v. New India Assurance Co. Ltd. (2019), the Court suggested a separate mediation law, which led to the Mediation Act, 2023.

Challenges to Mediation in India

  • Lack of awareness, especially in rural areas, and a strong belief in traditional courts as the only source of "real" justice.
  • Insufficient infrastructure and a shortage of trained mediators.
  • No national-level system for mediator training and accreditation, causing inconsistent quality.
  • Doubts regarding fairness and enforceability of mediation agreements, reducing public trust.
  • Concerns that mandatory mediation could lead to unfair settlements where power imbalance exists—necessitating safeguards and monitoring.

Legal and Policy Developments

  • The Mediation Act, 2023 formalizes mediation, creates the Mediation Council of India, sets rules for mediator accreditation, and ensures settlements are binding and enforceable.
  • Introduces pre-litigation mediation and community mediation, and ensures confidentiality of proceedings.
  • Clarifies that only settlements obtained through fraud or coercion can be challenged.
  • India signed the Singapore Convention on Mediation, making international mediation settlements enforceable in member countries, boosting foreign investment and trade confidence.
ObservationsIndia's legal system is shifting toward a more cooperative model of dispute resolution. While policies and laws are supportive, better implementation is needed. A collective effort by courts, lawmakers, and citizens is essential to mainstream mediation. Examples from countries like Singapore and Italy show that effective systems and awareness campaigns can successfully reduce court burdens and enhance justice delivery. India can adapt these models to its unique context. Recommendations
  • Courts should actively encourage mediation through better case management.
  • Promote online mediation to improve accessibility, especially in remote areas.
  • Launch awareness campaigns in both urban and rural areas.
  • Integrate ADR education in law schools and legal training.
  • Develop a national certification system for mediators under the Mediation Council of India.
  • Fully implement the Mediation Act, 2023 with appropriate funding and training for mediation centers.
  • Ensure safeguards for women, children, and vulnerable communities so mediation doesn't become coercive.

 
Conclusion
Mediation has the power to change the way justice is delivered in India. It offers a method that is fast, affordable, and amicable. With the new Mediation Act, 2023, and continued effort from the government and judiciary, India can make mediation a key part of its legal system. The future depends on awareness, training, and strong legal support for mediation.

End Notes:
  1. https://www.drishtijudiciary.com/alternative-dispute-resolution/Afcons%20Infrastructure%20Ltd.%20v.%20Cherian%20Varkey%20Construction%20Co.%20P.%20Ltd.%20(2010)%208%20SCC%2024
  2. https://indiankanoon.org/doc/179274439/
References:
  1. INDIA CONST. art. 14.
  2. Id. art. 39A.
  3. Code of Civil Procedure, 1908, § 89, No. 5, Acts of Parliament, 1908 (India).
  4. Legal Services Authorities Act, 1987, No. 39, Acts of Parliament, 1987 (India)
  5. Arbitration and Conciliation Act, 1996, No. 26, Acts of Parliament, 1996 (India)
  6. Companies Act, 2013, § 442, No. 18, Acts of Parliament, 2013 (India)
  7. The Commercial Courts Act, 2015 (Section 12A)
  8. Consumer Protection Act, 2019, No. 35, Acts of Parliament, 2019 (India).
  9. The Mediation Act, 2023
  10. United Nations Convention on International Settlement Agreements Resulting from Mediation (Singapore Convention), Aug. 7, 2019, U.N. Doc. A/RES/73/198

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