ADR Notes
ADR Notes
ADR Notes
LLB PART 2
QUESTION NO 1:
ANSWER:
Alternative Dispute Resolution (ADR) and other settlement mechanisms are processes that
provide parties in dispute an alternative to litigation:
1. Negotiation
o Direct Negotiation: Parties communicate directly to reach a mutual
agreement.
o Assisted Negotiation: A third party may facilitate the negotiation process
without actively resolving the dispute.
2. Mediation
o Facilitative Mediation: The mediator assists parties in finding a mutually
acceptable solution.
o Evaluative Mediation: The mediator provides an assessment of the strengths
and weaknesses of each party's case.
3. Arbitration
o Binding Arbitration: The arbitrator's decision is final and enforceable in
court.
o Non-Binding Arbitration: The arbitrator's decision is advisory and not
enforceable unless both parties agree.
4. Conciliation
o Formal Conciliation: Conducted under a specific legal framework with formal
procedures.
o Informal Conciliation: A more flexible and less structured process.
5. Mini-Trial
o Advisory Verdict: A mock trial with a jury that provides a non-binding verdict.
o Settlement Tool: Helps parties assess the strengths and weaknesses of their
case.
8. Settlement Conferences
9. Collaborative Law
10. Ombudsman
o Rent-a-Judge: A retired judge is hired to hear the case and make a decision.
o Trial by Referee: A private judge conducts a trial and issues a binding
decision.
ANSWER:
The history of Alternative Dispute Resolution (ADR) in India and Pakistan reflects their
shared cultural heritage, colonial history, and post-independence developments.
1. Ancient Traditions
• Village Panchayats: Local assemblies that resolved disputes within the community.
• Religious Institutions: Temples, mosques, and gurudwaras often mediated conflicts.
2. Medieval Period
• Mughal Era: Use of Qazi’s (judges) to resolve disputes under Islamic law.
• Customary Practices: Continued reliance on local customs and elders for dispute
resolution.
3. Colonial Influence
• Establishment: Conciliation courts set up to handle small claims and minor disputes.
• Effectiveness: Played a significant role in providing quick and accessible justice.
8. Conciliation Courts (Pakistan)
• Establishment: Conciliation courts set up to handle small claims and minor disputes.
• Effectiveness: Played a significant role in providing quick and accessible justice.
• Arbitration Act, 1940 Amendments: Efforts to update and improve the arbitration
framework.
• Mediation Ordinance, 2021: Introduction of mediation as a formal dispute resolution
method.
• Judicial Support: Indian courts promoting ADR through judgments and directives.
• Case Management: Courts incorporating ADR in case management practices.
• Trade Disputes Resolution: Establishment of bodies like the Karachi Centre for
Dispute Resolution (KCDR).
• International Arbitration: Participation in international arbitration bodies and
treaties.
QUESTION NO 3:
ANSWER:
ADVANTAGES DISADVANTAGES
- Parties have more control over - Less formal structure can lead to
7. Control
the outcome inconsistency
- Voluntary agreements are more - Decisions in non-binding ADR are
likely to be honored not enforceable
- Less stressful than court
8. Reduced Stress - Parties may feel pressured to settle
appearances
- Informal setting can be more - Emotional disputes can still be
comfortable contentious
13. Voluntary - Parties can voluntarily agree to - One party can withdraw,
Nature participate undermining the process
- Encourages mutually satisfactory
- Participation may not be genuine
outcomes
- Suitable for a wide range of - Not suitable for all types of cases,
14. Range of
disputes, including commercial, especially those requiring a legal
Disputes
family, and community conflicts precedent or public scrutiny
ANSWER:
1. Judicial Encouragement
o Case Management: Courts encourage ADR during case management
conferences.
o Pre-Trial Orders: Judges may order parties to attempt ADR before proceeding
to trial.
5. Judicial Precedents
o Landmark Judgments: Issuing rulings that encourage or mandate the use of
ADR.
o Setting Standards: Establishing standards for fairness and due process in
ADR.
8. Legislative Framework
o Enactment of Laws: Passing laws that establish and regulate ADR
mechanisms.
o Amendments and Updates: Updating legislation to reflect best practices and
international standards.
9. Funding and Resources
o Budget Allocation: Providing funding for ADR programs and infrastructure.
o Resource Distribution: Ensuring resources are available across regions,
including remote areas.
13. Standardization
o Uniform Rules and Procedures: Establishing uniform rules and procedures
for ADR.
o Quality Control: Ensuring the quality and consistency of ADR services.
Collaborative Roles
ANSWER:
The Punjab Alternative Dispute Resolution (ADR) Act 2019 aims to provide an effective
mechanism for resolving various types of disputes through ADR processes like mediation,
conciliation, and arbitration.:
1. Family Disputes
2. Commercial Disputes
3. Property Disputes
4. Employment Disputes
5. Consumer Disputes
• Loan Disputes: Issues related to loan agreements, repayments, and interest rates.
• Investment Disputes: Conflicts arising from investment contracts and financial
products.
7. Insurance Disputes
9. Construction Disputes
• Contractual Issues: Conflicts over construction contracts, project delays, and cost
overruns.
• Quality Disputes: Issues regarding the quality of work and materials used in
construction projects.
ANSWER:
Settlement of international disputes under Alternative Dispute Resolution (ADR) involves
mechanisms like mediation, arbitration, and conciliation to resolve conflicts between states,
corporations, and other international entities.
1. Diplomatic Mediation
2. International Arbitration
3. Conciliation
4. Negotiation
5. Good Offices
Conclusion
ANSWER:
The Arbitration Act 1940 was a key legislative framework governing arbitration in India and
Pakistan until it was replaced by newer legislation in both countries.
• Historical Context: Enacted during British rule to consolidate and amend the laws
relating to arbitration.
• Objective: To provide a comprehensive legal framework for arbitration proceedings.
3. Arbitration Agreement
4. Appointment of Arbitrators
6. Interim Measures
• Court Intervention: Courts could grant interim relief, such as injunctions, to preserve
the subject matter of arbitration.
• Arbitrator's Powers: Arbitrators had limited powers to order interim measures.
7. Arbitral Proceedings
• Limited Grounds for Appeal: Appeals were allowed only on specific grounds, such as
misconduct or procedural irregularities.
• Court's Role: Courts could intervene to correct errors and ensure fairness.
Conclusion
• Legacy of the Act: Despite its limitations, the Arbitration Act 1940 played a crucial
role in establishing arbitration as a viable dispute resolution mechanism in India and
Pakistan.
• Evolving Arbitration Landscape: The enactment of new laws reflects the evolving
needs of arbitration, promoting efficiency, and aligning with global standards.
QUESTION NO 8:
ANSWER:
1. Definition of Negotiation
2. Scope of Negotiation
3. Types of Negotiation
4. Characteristics of Negotiation
5. Stages of Negotiation
8. Communication in Negotiation
9. Bargaining Techniques