The Key Features of the Mediation Bill 2021

Electricity Laws » The Key Features of the Mediation Bill 2021

Table of Contents

There has been a lot of talk about how the Indian Judiciary has been overburdened with cases. It is true – the Indian judicial system is one of the slowest mainly because along with our huge population, comes the huge amount of cases that are being filed regularly. Dispute between two separate entities is as natural as cooperation. And when this happens, people move to court to settle these disputes once and for all.

However, in light of how litigation in our country is a cumbersome and expensive process that goes along at a snail’s pace for most people, ADR (Alternative Dispute Resolution) methods are gaining popularity. Even the central government has pushed for a new bill on an ADR technique known as mediation to lay down a framework to resolve disputes quickly and cost-effectively. This blog discusses the key features of this new Mediation Bill 2021 – so read on to find out what it is all about.

History of ADR in Indian Law

There are usually five methods under alternative dispute resolution (ADR) mechanisms in our country:

  • Negotiation
  • Mediation
  • Conciliation
  • Arbitration
  • Lok Adalats

In India, there is no standalone mediation act like various other countries such as Singapore, Ireland, Australia or Belgium have. However, there has been mention of several ADR mechanisms including mediation in several acts, like:-

  • The Code of Civil Procedure, 1908, 
  • The Arbitration Mediation and Conciliation Act, 1996, 
  • The Companies Act, 2013, 
  • The Commercial Courts Act, 2015, and 
  • The Consumer Protection Act, 2019.

The Calcutta High Court has also framed The Civil Procedure Mediation Rules 2006, exercising the rule-making power of the Code of Civil Procedure, 1908 to pave the way for ADR techniques like arbitration, mediation, and conciliation to adhere to a proper legal framework.

Also Read: How Will The Mediation Bill 2021 Help Reduce Conflict?

Mediation and its Principles

Mediation is a form of ADR or alternative dispute resolution technique that involves two disputing parties reaching a mutual agreement or settlement with the help of a mediator, who must be a neutral third party. Even though it is a quasi-legal concept, many big corporations and tech companies use mediation to settle disputes even now, without a proper mediation and conciliation act in place, because the outcome of a mediation session is still legally binding. Not to mention way easier and less time and money-consuming than opting for litigation in court.

There are various principles that are inherently a prerequisite of a successful mediation session. These are discussed below.

Voluntary participation

One of the most important prerequisites for a mediation session is the voluntary agreement of both parties to participate in it. Only consent by both parties without any fraud, force, coercion, or threat ensures active participation that can end in a mutually agreed upon agreement.

Confidentiality

Mediators that are assigned have to ensure that none of the proceedings of the mediation session gets leaked by either of the parties or themselves. A dispute resolution lawyer cannot mediate while sacrificing confidentiality.

Impartial mediators

Impartial mediators are paramount so that they can be neutral and guide the proceedings to an outcome that is mutually beneficial to both parties. On top of that, mediators are also required to explain the advantages of mediation for both parties.

Mutual Satisfaction of the Parties

No mediation session, whether it is mandated by the court or done as a pre-litigation measure, can be successful if both parties cannot reach an agreement mutually with the help of mediators.

Mediation Bill 2021 and its Key Features

The Mediation Bill, 2021 was introduced in the Rajya Sabha in December 2020, after which it was sent to the Parliamentary Standing Committee on Personnel, Public Grievances, Law & Justice for further deliberations following vicious opposition. It aims to make court mediation mandatory, before moving to the litigation process if the mediation is not successful. Let us discuss the key features of the Mediation Bill now.

Application

The provisions of the bill will apply to mediation proceedings in India, if:

  1. The parties involved habitually reside or are incorporated in India
  2. The dispute is of a commercial nature and at least one party is a foreign party
  3. It is mentioned in the mediation agreement that the proceedings would fall under the bill
  4. The bill will only apply to central and state governments if:-
    1. The dispute is of a commercial nature
    2. Other disputes as notified.

Mandatory Pre-litigation Mediation

Whether you are a Christian whose divorce laws fall under the Indian Divorce Act or belonging to any other religion governed by the various other divorce laws, like the Hindu Marriage Act of 1955 or the Dissolution of Muslim Marriages Act of 1939, breaking the bond of marriage is usually hard for anyone. To minimize the hassle of legal proceedings and court hearings, you should hire the best lawyer in Chandigarh, if you live in that area. That is where a firm like Lex Solutions can be a lifesaver, as they have the best legal professionals on their team.

Proceedings

The bill mentions that mediation proceedings should be completed within 180 days, which can be extended further by 180 days with the consent of both parties. The parties can also choose to withdraw after two sessions.

Mediated Settlement Agreement

The settlements reached through mediation, whether it is for a civil case like divorce mediation, or a commercial case, are enforceable by law. They are to be enforced in accordance with the Code of Civil Procedure, 1908. In case the mediated settlement is to be challenged, either party can do so on the grounds of:-

  • Fraud 
  • Corruption
  • Gross impropriety
  • Impersonation

Online Mediation

There is also a provision enabling online mediation in the Mediation Bill 2021, in tandem with the government’s dream of a fully digital India. Online mediation can be fully or partially adopted with the consent of both parties through tools like video and audio conferencing through secure networks.

Mediation Council of India

The bill also talks about the formation of a Mediation Council of India which will govern mediators and perform the functions and duties mentioned in the bill.

Mediation Service Providers and Institutes

The bill also talks about the formation of mediation institutes and service providers that shall be graded by the Mediation Council of India. These will perform the following functions:

  • Maintaining and accrediting mediators
  • Providing mediation services
  • Providing infrastructure and support to conduct mediation proceedings
  • Registration and filing of settlements

Community Mediation

Community mediation is also a feature of this bill, that can be used for settling disputes that affect a local community, like the residents of a locality for example. This is to be done with a panel of three mediators.

Mediation Fund

There is a provision for a fund called the Mediation fund that is to be maintained by the Mediation Council for promoting, encouraging, and facilitating mediation in the country.

Also Read: The High Rate Of Divorce In India And Its Effect On Society

Conclusion

While the Mediation Bill has its disadvantages, like the mandatory nature of mediation suggested, which goes against the very principle of consent and voluntary participation, there is no doubt that once the bill is passed, it will be a great boon to the judiciary. Especially with family court mediation, many small cases will cease to be a burden to the judiciary, lightening its caseload. In case you want to experience the cost and time effectiveness of mediation for yourself, get yourself a mediation lawyer from Lex Solutions, one of the best law firms in Chandigarh.

FAQs

1. Why is there a sudden focus on Mediation?

There exist several independent laws for mediation in many countries, as mediation is a proven strategy for dispute resolution. The Singapore Mediation Convention, which aims to facilitate international trade by providing standard rules for the resolution of commercial disputes has 55 signatories, including India. While India has not yet ratified this, it seems it is going in that direction with this bill.

2. Is the bill in effect?

No. The Mediation Bill 2021 is still being ratified and might go through several revisions before it can be brought into effect as an enforceable Act.

3.Is mediation useful for criminal cases?

No. ADR techniques like mediation do not apply to criminal cases.

4. Can I ask for a different mediator if I’m not satisfied?

Yes. You can ask for a different mediator according to the Mediation Bill 2021. It has the provision to appoint a mediator for you within 7 days if the one appointed does not feel like a neutral third party to either party involved in dispute resolution.

5. Who will form the Mediation Council of India?

  1. The council will be composed of a chairman, two full-time members with previous experience in mediation, and 3 ex-officio members appointed by the government.

According to estimates, 65% of people living in urban areas around the world are tenants. This is also true in India due to the sky-high prices of real estate in the major cities and the large population of migrant workers who live there. Nevertheless, living as a renter can be a peaceful arrangement, but occasionally there are situations where one can run into rental problems and other connected issues, such as receiving an unauthorized eviction notice or the erratic behaviour of the landlord.

Are you, however, a renter who is experiencing such problems or simply curious about what to do if you ever find yourself in a similar situation? In that case, allow us to help you through this blog, which will briefly discuss about the several protections against landowner harassment.

What does illegal eviction of tenants mean?

An illegal eviction, also known as an unlawful termination of tenancy, typically happens when a landowner forbids a tenant from entering a rental property or removes the tenant’s belongings from the property through the use of force, intimidation, or other methods (such as cutting off utilities or changing the locks). However, if the landowners evict you without taking the proper legal action, they are breaking the law.

How Do You Respond When Your Landlord Forcibly Evicts You?

Almost every state has rental control legislation pertaining to tenant protection, and each state has established specific circumstances for which the landlord may lawfully evict the renter. Additionally, a tenant has a legal right under the law to appear in court and defend himself against unlawful eviction, and some of those accessible remedies for tenants are discussed below:

Grounds for eviction

Non-payment of rent, breach of the lease, property damage, and illegal activity are the most typical grounds for evicting a renter. The tenant must therefore review the provisions of the State Rent Control Act to ascertain the grounds for eviction specified in the Act. In addition, if the tenant is being evicted for any reason other than those specified in the Act—which is considered wrongful eviction—they must seek the help of an eviction lawyer and the enforcement agencies to halt this.

Suit for injunction

A renter might be unable to leave a property when asked to do so for a number of reasons, such as having a medical emergency or having his elderly parents live with him. When this happens, the tenant has the option to file a case in the appropriate court to obtain an injunction that will prevent them from being evicted for any other grounds (other than those listed in the State’s Rent Act). Along with the assistance of housing rental lawyers, the renter should take this action, if they are violently evicted without providing them with adequate notice.

Rent Controller

In the event that the tenant receives a notice of eviction on pretences, they should go see the rent controller of the relevant jurisdiction and explain why they believe the notice of eviction is invalid. Additionally, following the tenant eviction laws, the court will summon the tenant, who will then be forced to submit his or her case and the arguments supporting the necessary evidence.

Notice of rent payment

If the landowner claims that he has not received the required rent and lists this as the reason for serving the notice of eviction, the tenant may legitimately ask him or her to send the information to his bank account so that he can conduct the transaction and deposit the outstanding rent. Moreover, after agreeing to it, the landowner must give the tenant the information within 10 days of the date they received the notice.

Also Read: Lex Solutions – Your One-Stop Destination For All Things Legal

Steps that you must follow to legally evict a tenant in India

Because eviction laws differ from state to state, the following are typical recommendations for evicting a renter. Nevertheless, you can contact the tenants lawyer of Lex Solutions if you need any assistance.

Serve the Tenant With a Termination Notice

The tenancy must be terminated before a landlord can evict a tenant for cause, and the landowner shall provide the tenant with the required notice before taking legal action to do so. Three different kinds of termination notices are generally available:

  • Pay Rent or Quit: The tenant is required to pay the rent within a predetermined period (often three to five days) or leave the rented property.
  • Cure or Quit: A breach of the rental agreement or lease must be remedied by the tenant within a set amount of time.
  • Unconditional Quit: Without a chance to correct the offense or pay the rent, the tenant must leave the property.

But to evict a tenant without good reason, the landlord must give the renter a 30- or 60-day notice to leave the premises.

File an Eviction Lawsuit

If the renter does not correct the issue or quit the property within the allotted time, the landowner must initiate an unlawful detainer case in small claims court. Following this, landlords have the right to evict tenants by serving a legal notice to tenants to vacate their premises.

Wait for the Tenant’s Answer

Within the time frame given on the summons, the tenant may “answer” the complaint. The renter may, however, use the response to refute the charges or present a defence. And, for instance, a tenant might claim that the eviction was carried out in retaliation or that the unpaid rent was used to pay for repairs the landlord refused to undertake.

Receive a Judgment for Possession

A default judgment is granted to the landowner if the tenant ignores the eviction notice India. Moreover, the landowner is entitled to take ownership of the property if the renter replies with an answer but the court rules in his or her favor.

Remove the Tenant

Despite having the right to reclaim the property, the landlord is unable to evict a renter without the help of a law enforcement official. Nevertheless, the tenant will be informed of the legal eviction and the number of days they have to leave once such an official receives the judgment and the cost. Moreover, the law enforcement authority may physically evict the tenant if they don’t leave the property in the allotted period.

Also Read: Introduction To The Indian Judicial System And Court Hierarchy

Summing Up

Now that you are aware of the characteristics of evictions and how to deal with them in a nation like India, you must use them as needed. Additionally, as a landowner, you must evict a problematic renter per the law. And, to ensure that you are acting legally, consult a local landlord-tenant law attorney in your area. For such assistance, a legal firm in Chandigarh, lexsolution can offer you a one-stop solution.

FAQs

  • Can a tenant seek an injunction against the landlord?

According to the state rental rules present in India, a tenant does not have the right to issue an injunction against the landlord. Moreover, injunction procedures are always discretionary, and a court of law cannot grant a perpetual injunction in favour of the plaintiff against the right owner if the plaintiff is only a trespasser.

  • Can police evict a tenant in India?

Even if the renters behave disrespectfully, the police cannot assist in reclaiming the property. However, the only court with the authority to order the eviction of a tenant is the court of the rent controller under whose jurisdiction the property is located. 

  • When a tenant can get the benefit of protection against eviction?

If the tenant can show that the landlord gave his written approval to the subtenant, he is entitled to protection from eviction. Additionally, it disallows any other consent, including implied or oral permission.