NEW DELHI: The Union Cabinet Wednesday approved changes to the mediation bill that make mediation voluntary rather than mandatory as provided in the original bill filed in Rajya Sabha in December 2021.
The bill, which seeks to provide legal backing for mediation, has been sent to the parliamentary standing committee on the law, which had recommended cutting the time limit in half and also making it voluntary for parties.
Cabinet accepted these recommendations and amendments will accordingly be tabled during the passage of the bill in Parliament during the monsoon session that begins on Thursday. The bill is intended to help unblock courts reeling under the massive backlog of cases by providing an institutional mechanism to promote mediation before a dispute is brought to court. It will help in the resolution of both civil and commercial cases.
Pre-dispute mediation under the bill provides that regardless of whether there is an agreement for mediation, the parties to a dispute, both civil and commercial, will take steps to resolve it in accordance with the provisions of the new law.
“The mediation law, upon entering into force, would incorporate the requirements legal intervention to provide legal recognition to mediation and allow the growth of a culture of amicable dispute resolution, outside of court. An agreement not only helps preserve the relationship between the parties and offers ease for business, but also contributes to the growth of the economy,” the Ministry of Justice said.
The bill, which seeks to provide legal backing for mediation, has been sent to the parliamentary standing committee on the law, which had recommended cutting the time limit in half and also making it voluntary for parties.
Cabinet accepted these recommendations and amendments will accordingly be tabled during the passage of the bill in Parliament during the monsoon session that begins on Thursday. The bill is intended to help unblock courts reeling under the massive backlog of cases by providing an institutional mechanism to promote mediation before a dispute is brought to court. It will help in the resolution of both civil and commercial cases.
Pre-dispute mediation under the bill provides that regardless of whether there is an agreement for mediation, the parties to a dispute, both civil and commercial, will take steps to resolve it in accordance with the provisions of the new law.
“The mediation law, upon entering into force, would incorporate the requirements legal intervention to provide legal recognition to mediation and allow the growth of a culture of amicable dispute resolution, outside of court. An agreement not only helps preserve the relationship between the parties and offers ease for business, but also contributes to the growth of the economy,” the Ministry of Justice said.