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ARBITRATION AND CONCILIATION

Alternative Dispute Resolution (ADR) is inclusive of the mechanisms which include dispute resolution techniques which act as a means for the contesting parties to come to an agreement, just short of litigation.

Arbitration is an ADR mechanism in which the parties get their disputes settled through the intervention of a third person and without having to take recourse to the law. The dispute is referred to a nominated person who decides on the issues in a quasi-judicial manner, after hearing out both the sides. This is never a matter of public record, and so the procedure is kept confidential. Arbitration stands to be one of the most effective and trusted forms of proceedings with regard to private dispute settlement.

There are certain matters which cannot be referred to for Arbitration:

  • Matrimonial Matters
  • Insolvency Proceedings
  • Criminal Proceedings
  • Anti-Trust Matters

Conciliation, on the other hand, is an ADR mechanism whereby the parties appoint a Conciliator, who meets with the individual parties separately in an attempt to resolve their differences. The negotiated settlement comes by way of improving communications, providing technical assistance, and exploring potential solutions.