Mediation Act 2068 and Court-Annexed Mediation
Exam Snapshot
Mediation is a structured alternative dispute resolution (ADR) mechanism where a neutral third party (mediator) assists disputing parties in reaching a voluntary, mutually acceptable settlement. In Nepal, it is governed by the Mediation Act 2068 and institutionalized in the judiciary under the Muluki Civil Procedure Code 2074.
Core Concept
- Definition: A process where a neutral person facilitates communication and negotiation between disputants to resolve the conflict without an adjudicatory decision.
- Mediator: A neutral third party who does not impose a decision but guides the parties to a settlement deed.
- Settlement Deed: Once parties sign the settlement, it carries the same legal weight as a court verdict (subject to court verification).
- Voluntariness: Parties choose to mediate, and they maintain the power to terminate the process at any stage.
Nepal Law Anchors
- Mediation Act 2068: The primary legislation governing the entire scope, accreditation of mediators, and procedure of mediation in Nepal.
- Muluki Civil Procedure Code 2074, Section 64: Mandates that the court must inform the parties about the possibility of mediation and provide an opportunity to resolve the dispute through it before proceeding to trial.
- Supreme Court Regulation (Court-Annexed Mediation Rules): Framework guiding how courts refer active cases to mediators.
Confusable Terms
| Term | Key Distinction |
|---|---|
| Mediation | Mediator assists parties; parties decide the outcome. |
| Arbitration | Arbitrator acts like a judge; issues a binding award. |
| Negotiation | Direct talk between parties; no third-party facilitator. |
| Conciliation | Similar to mediation but conciliator may suggest terms. |
MCQ Traps
- Trap: "Mediation is mandatory for all criminal cases." Correction: Mediation is generally used for civil cases and "peaceful" disputes. Serious criminal offences are not mediated.
- Trap: "The mediator decides the case if parties cannot agree." Correction: A mediator has no power to decide or impose a verdict.
- Trap: "Mediation is only possible after a court case is filed." Correction: It can happen privately or through court-annexed systems.
Example
A family files a partition suit in the District Court. Under Section 64 of the Civil Procedure Code 2074, the judge asks if they want to try mediation. If they agree, the case is sent to the court-annexed mediation unit. A certified mediator assists them in drafting a settlement deed. Once the judge verifies and endorses this deed, it becomes enforceable like a court judgment.
Memory Hook
- The Three V's: Voluntary participation, Verified settlement, and Valid as a court order.
Quick Revision
- Mediation is a process of assisted negotiation.
- Mediators must be neutral and impartial.
- Settlement deed is the final output.
- Court-Annexed Mediation happens after a case is registered.
- Section 64 of the Civil Procedure Code 2074 is the key trigger for court mediation.
- Confidentiality is a core principle (what is said in mediation cannot be used in court).