Rajya Sabha Passes The Mediation Bill 2021

The Rajya Sabha passed the Mediation Bill, 2021, aiming to promote and facilitate mediation as a means of resolving civil or commercial disputes before approaching courts or tribunals. The Bill was introduced on December 20, 2021, and subsequently referred to the Parliamentary Standing Committee on Personnel, Public Grievances, Law, and Justice, chaired by Sushil Kumar Modi. On July 13, 2022, the committee submitted its report to the Rajya Sabha chairperson. 

The Mediation Bill mandates parties involved in civil or commercial disputes to attempt mediation before resorting to legal proceedings. Parties are allowed to withdraw from the mediation process after two sessions. The entire mediation process should be completed within 180 days, with a possibility of an extension for another 180 days if both parties agree. 

To oversee the entire process, the Mediation Council of India will be formed. The council will be responsible for registering mediators and recognizing mediation service providers and institutes that train and certify mediators. However, some disputes, such as those involving criminal prosecution or affecting third-party rights, are not eligible for mediation, though the Central government has the authority to modify this list if necessary. 

Regarding mediator selection, parties can appoint any individual they agree upon. If they can't reach an agreement, a mediation service provider will appoint a mediator from its qualified panel. The agreements resulting from successful mediation will be legally binding and enforceable, similar to court judgments. 

Critics of the Bill have raised concerns about the mandatory nature of pre-litigation mediation, as mediation has traditionally been voluntary. Another issue is the lack of sufficient representation of experienced practitioners in the Mediation Council, unlike other professional regulators like the Bar Council of India (BCI). Moreover, the Bill fails to include provisions for enforcing settlement agreements resulting from international mediations conducted outside India. Additionally, some question the Central government's potential involvement as a party in mediations, as the Council's regulations require prior approval from the government.