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Section 89 CPC

The document discusses provisions around alternative dispute resolution under Section 89 of the Code of Civil Procedure (CPC) and Section 8 of the Arbitration and Conciliation Act, 1996. Section 89 CPC allows courts to refer disputes to arbitration, conciliation, judicial settlement, or mediation. Section 8 A&C Act requires courts to refer disputes to arbitration if an arbitration agreement exists. The document also discusses case law on interpreting Section 89 CPC, including distinguishing it from Section 8 A&C Act.

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Akshay Lal
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811 views9 pages

Section 89 CPC

The document discusses provisions around alternative dispute resolution under Section 89 of the Code of Civil Procedure (CPC) and Section 8 of the Arbitration and Conciliation Act, 1996. Section 89 CPC allows courts to refer disputes to arbitration, conciliation, judicial settlement, or mediation. Section 8 A&C Act requires courts to refer disputes to arbitration if an arbitration agreement exists. The document also discusses case law on interpreting Section 89 CPC, including distinguishing it from Section 8 A&C Act.

Uploaded by

Akshay Lal
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
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Section 89 CPC

 (1) Where it appears to the court that there exist


elements of a settlement which may be
acceptable to the parties, the court shall
formulate the terms of settlement and give them
to the parties for their observations and after
receiving the observation of the parties, the court
may reformulate the terms of a possible
settlement and refer the same for-
 (a) arbitration;
 (b) conciliation
 (c) judicial settlement including settlement

through Lok Adalat; or


 (d) mediation.
Section 89 CPC
 (2) Where a dispute had been referred-

 (a) for arbitration or conciliation, the provisions of


the Arbitration and Conciliation Act, 1996 shall
apply as if the proceedings for arbitration or
conciliation were referred for settlement under the
provisions of that Act.

 (b) to Lok Adalat, the court shall refer the same to


the Lok Adalat in accordance with the provisions of
sub-section (1) of section 20 of the Legal Services
Authority Act, 1987 and all other provisions of that
Act shall apply in respect of the dispute so referred
to the Lok Adalat;
Section 89 CPC
 (c) for judicial settlement, the court shall refer
the same to a suitable institution or person
and such institution or person shall be
deemed to be a Lok Adalat and all the
provisions of the Legal Services Authority Act,
1987 shall apply as if the dispute were
referred to a Lok Adalat under the provisions
of that Act;

 (d) for mediation, the court shall effect a


compromise between the parties and shall
follow such procedure as may be prescribed.]
ORDER 10 Rule 1-A
 1-A, Direction of the court to opt for any one
mode of alternative dispute resolution.-After
recording the admissions and denials, the
court shall direct the parties to the suit to opt
either mode of the settlement outside the
court as specified in sub-section (1) of
Section 89. On the option of the parties, the
court shall fix the date of appearance before
such forum or authority as may be opted by
the parties.
ORDER 10 Rule 1-B
 1-B, Appearance before the conciliatory
forum or authority. – Where a suit is referred
under Rule 1-A, the parties shall appear
before such forum of authority for
conciliation of the suit.
ORDER 10 Rule 1-C
 1-C. Appearance before the court consequent
to the failure of efforts of conciliation.
Where a suit is referred under Rule 1-A and
the presiding officer of conciliation forum or
authority is satisfied that it would not be
proper in the interest of justice to proceed
with the matter further, then, it shall refer the
matter again to the court and direct the
parties to appear before  the court on the
date fixed by it.
Section 8, the Arbitration and Conciliation Act, 1996

 8. Power to refer parties to arbitration where there is an arbitration


agreement.—

 (1) A judicial authority before which an action is brought in a


matter which is the subject of an arbitration agreement shall, if a
party so applies not later than when submitting his first statement
on the substance of the dispute, refer the parties to arbitration.

 (2) The application referred to in sub-section (1) shall not be


entertained unless it is accompanied by the original arbitration
agreement or a duly certified copy thereof.

 (3) Notwithstanding that an application has been made under sub-


section (1) and that the issue is pending before the judicial
authority, an arbitration may be commenced or continued and an
arbitral award made.
Distinction between Section 89, CPC &
Section 8, A&C Act, 1996

 Sukanya Holdings (P) Ltd v Jayesh H. Pandya &


Anr 2003(5)SCC 531
Case Law on Section 89
 Salem Bar Association v Union of India
2003(1)SCC49

 Salem Bar Association v Union of India


2005(6)SCC344

 M/s Afcons Infra. Ltd. & Anr vs M/s Cherian


Varkey Construction Co (Pvt) Ltd & others
2010(8)SCC24

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