Is there a need for ADR in India?

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- Swetha.C.P (3rd Year, SOEL)

The successful development and commercialization of technology requires an integrated dispute resolution strategy. Alternative dispute resolution mechanisms incorporate several procedures that allows the parties to resolve their disputes outside the court in a public forum. ADR is a helpful mechanism, which deals the conflicts among the parties in a peaceful manner where the outcome is accepted by both the parties to the conflict. Alternative dispute resolution has got wide acceptance to resolve disputes to its perceived advantages. Many court officials considered that ADR has taken the power of courts, yet they recognize the need for ADR as a choice to settle disputes. The existence of ADR can be traced back to the ancient times of the human society though it got wide acceptance and recognition in countries law recently. One of the greatest motivations of ADR system is to reduce the cost and tie involved in solving disputes. Law suits are expensive and sometimes the cost goes even the extent of making the victory of a party insignificant or exceeding of the amount of judgement. On the other hand, the ADR system can make it possible to use process that cost small fraction of the litigation and provides a good result.

There are many types of ADR methods but the special emphasis is given to the methods that are widely accepted; Negotiation, Mediation/Conciliation and Arbitration.

  • Negotiation; is a consensual bargaining process in which parties attempt to reach agreement on a disputed or potentially disputed matters. It is a non-binding procedure involving direct interaction of the disputing parties where in a party approaches the other with the offer of a negotiated settlement based on an objective assessment of each other's position.
  • Mediation/Conciliation; is a method of non-binding dispute resolution mechanism involving a neutral third party who tries to help the disputing parties reach agreeable solution. Mediator recommends or tries to influence the parties but he has no comparable decision making powers or possess any legal ability to compel any party to refrain from doing anything. Mediation is not binding.
  • Arbitration; means a process by which a tribunal other than a court decides a dispute between two or more parties under authority granted by the parties under an arbitration agreement. There might be also compulsory arbitration without the consent of disputing parties. The role of an arbitrator is similar to the role of a judge. Awards means the decision of an arbitrator which decides the disputes and the rights of the parties. In arbitration there are two kinds of awards binding and non binding.

In India, ADR plays a significant role by its diverse techniques. Alternative Dispute Resolution mechanism provides scientifically developed techniques to Indian judiciary with the help of reducing the burden on the courts. ADR can also be said to be found on fundamental rights such as Article 14 and 21 which deals with the equality before law and the right to life and personal liberty respectively. ADR’s motive is to provide social-economic and political justice and maintain integrity in the society enshrined in the preamble. ADR also strives to achieve equal justice and free legal aid provided under article 39-A relating to directive principle of state policy (DPSP).

Perspective-

•  Alternative Dispute Resolution is less time consuming, the proceeding of courts may be very long but in ADR the people can resolve their disputes in a very short period as compared to the courts.

• ADR is a cost-effective method. The litigation process may not only be long and time consuming but may be very expensive as compared to Alternative dispute resolution. People can save a lot of money by choosing ADR methods.

• It is free from technicalities of the court, ADR is an informal proceeding to resolve disputes among the conflicting parties.

• Individuals are free to express their opinions without the fear of the court of law. The can reveal the true facts without disclosing it to any courts.

• ADR Prevents further conflicts and maintains good relationship among the parties.

• ADR preserves the best interest of both the parties.

• ADR follows principle of confidentiality, the information of the parties are kept in secret from public and the press.

Due to the above advantages many parties prefer ADR to resolve disputes instead of a lawsuit.