vii. Arbitration And Conciliation
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1. Arbitration |
In the arbitration procedure, a decision is made on the merits of the case by a neutral third party or parties. In the Indian setting, the Arbitration and Conciliation Act of 1998 broadly defines the rules for the arbitration process, and the parties are free to devise an arbitration process that is appropriate and pertinent to their disputes in the areas covered by the Statute. |
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2. Mediation |
The mediation process seeks to make it easier for the conflicting parties to come to a mutually agreeable settlement. The Mediator is a neutral third party who oversees the mediation process. The ability of the mediator to help the parties’ negotiations depends on their agreement. |
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3. Conciliation |
A less formal variation of arbitration is conciliation. No prior agreement is necessary for this method to work. Any party may request the appointment of a conciliator from the opposite party. Two or three conciliators are permitted but one is recommended. If there are numerous conciliators, they must all work together. There can be no conciliation if a party declines an offer to do so.
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