History of ADR:

A recommendation for the first time was made to the Second Law Commission by Sir Charleswood to provide for a uniform law regarding arbitration. 

In June 2000, formalized ADR was introduced in Bangladesh by means of court- annexed judicial settlement pilot projects, in an effort to decrease delays, expenses, and the frustrations of litigants laboring through the traditional trial process. All three pilot programs were fully functioning by January 2001.

In 1976 in Bangladesh, Gram Adalat law was passed under the auspices of Union Parishad to settle minor criminal and civil law suits. The law house bestowed an UP Chairman or Gram Adalat Chairman with power of a third claw magistrate. The court is comprised of 5 members including the Chairman, 2 General members and 2 members selected by the complainant and defender. The judgment of the court will be validated with unanimous support or by majority of 4:1. No one cam, raise any question regarding the legality on the verdict.

The Regulation Act,1781 further envisaged that judges should recommend the parties to submit disputes to mutually agreed person and no award of arbitrator could be set aside unless there were two witnesses that arbitrator had committed gross error or was partial to a party.