Chapter v of Artha Rin Adalat Ain, 2003 provides for settlement of any dispute through mediation. Section 22 of the Artha Rin Adalat Ain, 2003 provides for Settlement Conference after filing of written statement. The Court shall refer the matter to the parties or their lawyer for mediation. After completion of mediation procedure, a report consisting of signature of both parties, pleaders and mediator is to be submitted in the Court. If the matter is resolved by mediation, the terms and conditions of the report is to be written in an agreement. Thereafter the Court will pass a decree on the basis of the agreement.
Section 22 of Arbitration Act also provides for the scope of ‘Mediation’. According to this act upon consensus of all parties at any stage of arbitration can follow mediation procedure. At the time of continuation of dispute if parties resolve the matter amicably and if the parties requests the tribunal regarding this, the Arbitration Tribunal shall record the consensus of decision as ‘award’ of the Tribunal.
The Act provides for single mode of ADR and this is mediation s defined and described in section 22 of the Act. Unlike before the adoption of the process of mediation is compulsory after Submission of written statement. Once the written statement is submitted, the court must send the suit to appointed lawyer or to ite parties to settle the suit matter by way of mediation.