Alternative Dispute Resolution - ADR Law

By : Neha Dhyani

Updated : Apr 14, 2022, 15:39

Alternative Dispute Resolution (ADR) is a method of resolving disagreements and disputes between parties by negotiating and discussing a mutually acceptable settlement. It is an attempt to create a framework that is different from the usual techniques for resolving disputes.

The ADR law in India is enacted based on Article 14 (Equality before the law) and Article 21 (Right to life and personal liberty) of the Indian Constitution.

Types of Alternative Dispute Resolution

ADR is categorised as follows:

  • Arbitration

The case is brought before an arbitral tribunal, which renders a ruling (an "award") on the case that is mainly binding on the parties. There is relatively limited room for judicial intervention in the arbitration procedure, except for some interim remedies.

  • Conciliation

A non-binding technique in which a neutral third party, the conciliator, supports the disputants in achieving an amicable agreement. However, if both parties approve the conciliator's settlement statement, it will be valid and enforceable on both sides.

  • Mediation

In mediation, a neutral third party known as a "mediator" assists the parties in attempting to obtain a mutually agreeable resolution of the conflict.

The mediator does not arbitrate in the dispute; instead, the person assists the parties in communicating so that they can attempt to resolve it on their own.

  • Negotiation

It is a non-binding mechanism where the parties engage in conversations without the involvement of a third party to reach a negotiated solution.

Negotiation takes place in the workplace, in non-profit organisations, in government entities, in legal proceedings, between nations, and in personal issues such as marriage, parenting, and everyday life.

  • Lok Adalats

The Legal Services Authorities Act of 1987 paved the way for the development of the Lok Adalat system of dispute resolution to speed up the process. Disputes in the pre-litigation phase could be resolved amicably at Lok Adalats.

Important UPSC Topics
UPSC ExamUPSC Exam Date
UPSC NotificationUPSC Eligibility
UPSC Online ApplicationUPSC Exam Pattern
UPSC SyllabusUPSC Previous Year Question Papers
UPSC Cut OffUPSC Preparation Strategy
UPSC BooksUPSC Exam Analysis
UPSC Admit CardUPSC Results

Alternative Dispute Resolution - ADR Law in India

  • The Legal Services Authorities Act was passed in 1987 to enable out-of-court settlements. While the new Arbitration and Conciliation Act got passed in 1996.
  • The plea bargaining procedure got incorporated into the Code of Criminal Procedure in 2005.
  • Lok Adalat, or "people's court," is an informal forum that fosters talks in the presence of a judicial officer and where issues get resolved without undue focus on legal proceedings. The Lok Adalat's decision is decisive and agreed upon by the parties and cannot be appealed in a court of law.

☛ Also Read: Daily Current Affairs

Benefits of the Alternative Dispute Resolution

  • Dispute resolution is typically conducted privately, which aids in maintaining confidentiality.
  • Procedural flexibility helps to save time while alleviating the stress associated with typical trials.
  • The system generally results in new ideas, long-term outcomes, higher contentment, and improved relationships.
  • Having specialised expertise in the tribunal as an arbitrator, mediator, conciliator, or impartial adviser is beneficial.

In the past few years, the Alternative Dispute Resolution mechanism has efficiently resolved an enormous number of cases at all tiers of the judiciary.

Lok Adalats have dispensed more than 5 million cases per year on average. However, there appears to be a dearth of awareness regarding ADR Law and Mechanisms.

More knowledge should be shared by the National and State Legal Services Authorities so that prospective litigants consider them first.

More Current Affairs Topics
Difference Between History and PrehistoryBattle of Saragarhi
Difference Between Nationalism and PatriotismBattle of Hydaspes
CA Act 1949Bodo Accord
Alexander the GreatBasel III Norms
All India Kisan Sabha [AIKS]Difference Between Objective and Subjective

FAQs on Alternative Dispute Resolution

Q.1. What is Alternative Dispute Resolution?

Alternative Dispute Resolution is a non-adversarial mechanism of resolving disputes in which parties work collaboratively to reach an agreement best for everyone.

Q.2. What are the four different types of Alternative Dispute Resolution?

Mediation, conciliation, negotiation, and arbitration are the most prevalent kinds of Alternative Dispute Resolution in civil matters.

Q.3. When was the Legal Services Authorities Act or Alternative Dispute Resolution Law passed?

The Legal Services Authorities Act (Alternative Dispute Resolution Law) was passed in 1987 to encourage out-of-court settlements.

Q.4. What are the 3 methods of Alternative Dispute Resolution?

There are currently three principal methods of Alternative Dispute Resolution Mediation, Collaboration, and Arbitration.