ACKNOWLEDGEMENT

I would like to express my gratitude and appreciation

to all those who gave me the possibility to complete
this project of
“English”
Special thanks are to my Assistant Professor
Dr. Jyoti Rana
whose help, stimulating suggestions and
encouragement helped me in all time of fabrication
process and in formation of this project. I also
sincerely thanks for the time spent proofreading and
correcting my glitches throughout the work.
 Dr. B.R. Ambedkar National Law
University
Sonipat

English Project File

Lok Adalat

Submitted To: Name: Ritesh Kumar

Dr. Jyoti Rana Roll No: 2301078
Batch: 2023-2028
 LOK ADALATS AND PERMANENT LOK ADALATS

Lok Adalats in India:

ADR has been an integral part of our historical past. Like the zero, the concept of Lok Adalat
(Peoples' Court) is an innovative Indian contribution to the world jurisprudence. The
institution of Lok Adalat in India, as the very name suggests, means, People's Court. "Lok"
stands for "people" and the vernacular meaning of the term "Adalat" is the court. India has a
long tradition and history of such methods being practiced in the society at grass roots level.
These are called panchayat and in the legal terminology, these are called arbitration. These
are widely used in India for resolution of disputes both commercial and non-commercial.
Other alternative methods being used are Lok Adalat (People's Court), where justice is
dispensed summarily without too much emphasis on legal technicalities. It has been proved to
be a very effective alternative to litigation.

The ancient concept of settlement of dispute through mediation, negotiation or through

arbitral process known as "Peoples' Court verdict" or decision of "Nyaya-Panch" is
conceptualized and institutionalized in the philosophy of Lok Adalat. Some people equate
Lok Adalat to conciliation or mediation, some treat it with negotiations and arbitration. Those
who find it different from all these, call it "Peoples' Court". It involves people who are
directly or indirectly affected by dispute resolution.
The salient features of this form of dispute resolution are participation, accommodation,
fairness, expectation, voluntariness, neighbourliness, transparency, efficiency and lack of
animosity.

Evolution Of Lok Adalats:

The concept of Lok Adalats was pushed back into oblivion in last few centuries before
independence and particularly during the British regime. Now, this concept has, once again,
been rejuvenated. It has, once again, become very popular and familiar amongst litigants.
This is the system which has deep roots in Indian legal history and its close allegiance to the
culture and perception of justice in Indian ethos. Experience has shown that it is one of the
very efficient and important ADRs and most suited to the Indian environment, culture and
societal interests.

Camps of Lok Adalats were started initially in Gujarat in March 1982 and now it has been
extended throughout the Country.

The evolution of this movement was a part of the strategy to relieve heavy burden on the
Courts with pending cases and to give relief to the litigants who were in a queue to get
justice. The first Lok Adalat was held on March 14, 1982 at Junagarh in Gujarat the land of
Mahatma Gandhi. Lok Adalats have been very successful in settlement of motor accident
claim cases, matrimonial/family disputes, labour disputes, disputes relating to public services
such as telephone, electricity, bank recovery cases and so on.

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Some statistics may give us a feeling of tremendous satisfaction and encouragement. Up to
the middle of last year (2004), more than 200,000 Lok Adalats have been held and therein
more than16 million cases have been settled, half of which were motor accident claim cases.
More than one billion US dollars were distributed by way of compensation to those who had
suffered accidents. 6.7million persons have benefited through legal aid and advice.

Legislation pertaining to Lok Adalats:

The advent of Legal Services Authorities Act, 1987 gave a statutory status to Lok Adalats,
pursuant to the constitutional mandate in Article 39-A of the Constitution of India, contains
various provisions for settlement of disputes through Lok Adalat. It is an Act to constitute
legal services authorities to provide free and competent legal services to the weaker sections
of the society to ensure that opportunities for securing justice are not denied to any citizen by
reason of economic or other disabilities, and to organize Lok Adalats to secure that the
operation of the legal system promotes justice on a basis of equal opportunity. Even before
the enforcement of the Act, the concept of Lok Adalat has been getting wide acceptance as
People's Courts as the very name signifies. Settlement of disputes at the hands of Panchayat
Heads or tribal heads was in vogue since ancient times. When statutory recognition had been
given to Lok Adalat, it was specifically provided that the award passed by the Lok Adalat
formulating the terms of compromise will have the force of decree of a court which can be
executed as a civil court decree.

Benefits Of Lok Adalats:

There are endless benefits that litigants can derive from this system.

 First, the absence of any court fees makes it highly economical and approachable by the
weaker societies. Moreover, if a case has previously been filed in any court, the fees
charged by this court will be returned as soon as the matter is filed with Lok Adalat.
 Secondly, there is a lot more flexibility with regards to procedural rules and the weight of
Evidence Act during the assessment of any claim. The aggrieved party and the defendants
can directly interact and communicate with the judges of Lok Adalat despite being
represented by their advocates.
 Thirdly, any matter can be presented directly to the Lok Adalat instead of going through
any court. Since time is of the essence in most of these cases, having a fast track and cost
effective system such as this can be beneficial to many.
 Fourthly, Lok Adalat’s decision is binding on the parties, and the same can be executed
with a legal process. The decision of Lok Adalat cannot be appealed to higher courts
unlike the other courts of law which usually results in a delay of the proceedings. This is
because the decision made in a Lok Adalat is mutually settled as opposed to a verdict
given in other courts. Hence, the need for an appeal should not arise if the settlement
consents.

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The most important feature of this system is the fast track, affordable remedy that is available
to people at large. The system has received laurels from the parties involved in particular and
the public and the legal functionaries, in general. Voluntary participation is an essential
element of this kind of a solution. It is an assumed fact that the participating parties have
decided to come to a mutual settlement amicably.

Studies have shown that in countries that are undergoing development, around 90% of the
disputes are settled in alternative courts, and only 10% are settled in the traditional courts. In
India, Lok Adalat is the need of the day, given that the amount of the legal fraternity is not
proportionate to the disputes. Therefore as a support to this, Lok Adalats help the courts to lift
the burden laid upon them.

Procedure at lok adalat:

The procedure followed at a Lok Adalat is very simple and shorn of almost all legal
formalism and rituals. The Lok Adalat is presided over by a sitting or retired judicial officer
as the chairman, with two other members, usually a lawyer and a social worker. It is revealed
by experience that in Lok Adalats it is easier to settle money claims since in most such cases
the quantum alone may be in dispute. Thus the motor accident compensation claim cases are
brought before the Lok Adalat and a number of cases were disposed of in each Lok Adalat.
One important condition is that both parties in dispute should agree for settlement through
Lok Adalat and abide by its decision. A Lok Adalat has the jurisdiction to settle, by way of
effecting compromise between the parties, any matter which may be pending before any
court, as well as matters at pre-litigative stage i.e. disputes which have not yet been formally
instituted in any Court of Law. Such matters may be civil or criminal in nature, but any
matter relating to an offence not compoundable under any law cannot be decided by the Lok
Adalat even if the parties involved therein agree to settle the same. Lok Adalats can take
cognizance of matters involving not only those persons who are entitled to avail free legal
services but of all other persons also, be they women, men, or children and even institutions.
Anyone, or more of the parties to a dispute can move an application to the court where their
matter may be pending, or even at pre-litigative stage, for such matter being taken up in the
Lok Adalat whereupon the Lok Adalat Bench constituted for the purpose shall attempt to
resolve the dispute by helping the parties to arrive at an amicable solution and once it is
successful in doing so, the award passed by it shall be final which has as much force as a
decree of a Civil Court obtained after due contest.

Finality of Lok Adalat award:

One issue which raises its head often is the finality of the award of the Lok Adalat. During
the Lok Adalat, the parties agree to abide by the decision of the judge at the Lok Adalat.
However,
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it is often seen that later, the same order is challenged on several grounds. In one of the recent
decisions, the Supreme Court of India has once again laid to rest all such doubts. In
unequivocal terms, the Court has held that award of the Lok Adalat is as good as the decree
of a Court. The award of the Lok Adalat is fictionally deemed to be decrees of Court and
therefore the courts have all the powers in relation thereto as it has in relation to a decree
passed by itself. This, includes the powers to extend time in appropriate cases. The award
passed by the Lok Adalat is the decision of the court itself though arrived at by the simpler
method of conciliation instead of the process of arguments in court

Consent of Parties:
The most important factor to be considered while deciding the cases at the Lok Adalat is the
consent of both the parties. It cannot be forced on any party that the matter has to be decided
by the Lok Adalat. However, once the parties agree that the matter has to be decided by the
Lok Adalat, then any party cannot walk away from the decision of the Lok Adalat. In several
instances, the Supreme Court has held that if there was no consent the award of the Lok
Adalat is not executable and also if the parties fail to agree to get the dispute resolved through
Lok Adalat, the regular litigation process remains open for the contesting parties.

The Supreme Court has also held that compromise implies some element of accommodation
on each side. It is not apt to describe it as total surrender.A compromise is always bilateral
and means mutual adjustment. Settlement is termination of legal proceedings by mutual
consent

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The Legal Services Authorities Act, 1987:
The Legal Services Authorities Act, 1987 was enacted to constitute legal services authorities
for providing free and competent legal services to the weaker sections of the society to ensure
that opportunities for securing justice were not denied to any citizen by reason of economic
or other disabilities and to organize Lok Adalats to ensure that the operation of the legal
system promoted justice on a basis of equal opportunity. The system of Lok Adalat, which is
an innovative mechanism for alternate dispute resolution, has proved effective for resolving
disputes in a spirit of conciliation outside the courts

However, the major drawback in the existing scheme of organization of the Lok Adalats
under Chapter VI of the said Act is that the system of Lok Adalats is mainly based on
compromise or settlement between the parties. If the parties do not arrive at any compromise
or settlement, the case is either returned to the court of law or the parties are advised to seek
remedy in a court of law. This causes unnecessary delay in the dispensation of justice. If Lok
Adalats are given power to decide the cases on merits in case parties fails to arrive at any
compromise or settlement, this problem can be tackled to a great extent. Further, the cases
which arise in relation to public utility services such as Mahanagar Telephone Nigam
Limited, Delhi Vidyut Board, etc., need to be settled urgently so that people get justice
without delay even at pre- litigation stage and thus most of the petty cases which ought not to
go in the regular courts would be settled at the pre-litigation stage itself which would result in
reducing the workload of the regular courts to a great extent. It is, therefore, proposed to
amend the Legal Services Authorities Act, 1987 to set up Permanent Lok Adalats for
providing compulsory pre-litigative mechanism for conciliation and settlement of cases
relating to public utility services.

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Amendments made to The Legal Services Authorities (Amendment) Act,
2002
The Legal Services Authorities (amendment) Act, 2002 was enacted as ACT NO. 37 OF
2002 on 11th June, 2002.This Act further to amended the Legal Services Authorities Act,
1987

The salient features of the amendment are as follows:

1. Insertion of new Chapter VIA.- After Chapter VI of the principal Act, the following
Chapter shall be inserted, namely:-' chapter via pre- litigation conciliation and settlement
2. To provide for the establishment of Permanent Lok Adalats which shall consist of a
Chairman who is or has been a district judge or additional district judge or has held
judicial office higher in rank than that of the district judge and two other persons having
adequate experience in public utility services;
3. The Permanent Lok Adalat shall exercise jurisdiction in respect of one or more public
utility services such as transport services of passengers or goods by air, road and water,
postal, telegraph or telephone services, supply of power, light or water to the public by
any establishment, public conservancy or sanitation, services in hospitals or dispensaries;
and insurance services;
4. The pecuniary jurisdiction of the Permanent Lok Adalat shall be up to rupees ten lakhs.
However, the Central Government may increase the said pecuniary jurisdiction from
time to time. It shall have not jurisdiction in respect of any matter relating to an offence
not compoundable under any law;
5. It also provides that before the dispute is brought before any court, any party to the
dispute may make an application to the Permanent Lok Adalat for settlement of the
dispute;
6. Where it appears to the Permanent Lok Adalat that there exist elements of a settlement,
which may be acceptable to the parties, it shall formulate the terms of a possible
settlement and submit them to the parties for their observations and in case the parties
reach an agreement, the Permanent Lok Adalat shall pass an award in terms thereof. In
case parties to the dispute fail to reach an agreement, the Permanent Lok Adalat shall
decide the dispute on merits; and
7. Every award made by the Permanent Lok Adalat shall be final and binding on all the
parties thereto and shall be by a majority of the persons constituting the Permanent Lok
Adalat.

Chapter VI of Legal services authority Act , 2002:Lok Adalat

Chapter VI- Lok Adalats ,consists of four sections namely from section -19 to section – 22
which mainly talks about organisation and powers of both lok adalat as well as permanent lok
adalat. Sections pertaining to this chapter shall be discussed as here under:

Section 19 - Organization of Lok Adalats

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(1)Every State Authority or District Authority or the Supreme Court Legal Services
Committee or every High Court Legal Services Committee or, as the case may be, Taluk
Legal Services Committee may organise Lok Adalats at such intervals and places and for
exercising such jurisdiction and for such areas as it thinks fit.

(2) Every Lok Adalat organised for an area shall consist of such number of :-

(a) Serving or retired judicial officers and

(b)Other persons,of the area as may be specified by the State Authority or the District
Authority or the Supreme Court Legal Services Committee or the High Court Legal
Services Committee, or as the case may be, the Taluk Legal Services Committee,
organising such Lok Adalats.

(3) The experience and qualifications of other persons referred to in clause (b) of sub-section
(2) for Lok Adalats organised by the Supreme Court Legal Services Committee shall be
such as may be prescribed by the Central Government in consultation with the Chief
Justice of India.

(4) The experience and qualifications of other persons referred to in clause (b) of sub-section
(2) for Lok Adalats other than referred to in sub-section (3) shall be such as may be
prescribed by the State Government in consultation with the Chief Justice of the High
Court.

(5)A Lok Adalat shall have jurisdiction to determine and to arrive at a compromise or
settlement between the parties to a dispute in respect of :-

(i) Any case pending before or

(ii) Any matter which is falling within the jurisdiction of, and is not brought before, any court
for which the Lok Adalat is organised.

Provided that the Lok Adalat shall have no jurisdiction in respect of any case or matter
relating to an offence not compoundable under any law.

Section 20. Cognizance of Cases by Lok Adalats

(1) Where in any case referred to in clause (i) of sub-section (5) of Section 19-(i)

(i) (a) The parties thereof agree or

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(i) (b) One of the parties thereof makes an application to the court, for referring the case to
the Lok Adalat for settlement and if such court is prima facie satisfied that there are
chances of such settlement or

(ii) The court is satisfied that the matter is an appropriate one to be taken cognizance of by
the Lok Adalat, the court shall refer the case to the Lok Adalat Provided that no case shall
be referred to the Lok Adalat under sub-clause (b) of clause ( i) or clause (ii) by such court
except after giving a reasonable opportunity of being heard to the parties.

(2)Notwithstanding anything contained in any other law for the time being in force, the
Authority or Committee organising the Lok Adalat under sub-section (1) of Section 19
may, on receipt of an application from any, one of the parties to any matter referred to in
clause
(ii) of sub-section (5) of Section 19 that such matter needs to be determined by a Lok
Adalat, refer such matter to the Lok Adalat, for determination; Provided that no matter
shall be referred to the Lok Adalat except after giving a reasonable opportunity of being
heard to the other party.

(3)Where any case is referred to a Lok Adalat under sub-section (1) or where a reference has
been made to it under sub-section (2), the Lok Adalat shall proceed to dispose of the case
or matter and arrive at a compromise or settlement between the parties.

(4)Every Lok Adalat shall, while determining any reference before it under this Act, act with
utmost expedition to arrive at a compromise or settlement between the parties and shall be
guided by the principles of justice equity, fair play and other legal principles.

(5)Where no award is made by the Lok Adalat on the ground that no compromise or
settlement could be arrived at between the parties, the record of the case shall be returned
by it to the court, from which the reference has been received under sub-section (1) for
disposal in accordance with law.

(6)Where no award is made by the Lok Adalat on the ground that no compromise or
settlement could be arrived at between the parties, in a matter referred to in sub-section
(2), that Lok Adalat shall advice the parties to seek remedy in a court.

(7)Where the record of the case is returned under sub-section (5) to the court, such court shall
proceed to deal such reference under sub-section (1).

Section 21. Award of Lok Adalat

(1)Every award of the Lok Adalat shall be deemed to be a decree of a civil court or, as the
case may be, an order of any other court and where a compromise or settlement has been
arrived at, by a Lok Adalat in a case referred to under sub-section (1) of Section 20, the
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court-fee

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 paid in such case shall be refunded in the manner provided under the Court Fees Act, 1870
(7 of 1870).

(2)Every award made by a Lok Adalat shall be final and binding on all the parties to the
dispute, and no appeal shall lie to any court against the award.

Section 22. Powers of Lok Adalat or Permanent Lok Adalat

(1)The Lok Adalat shall, for the purposes of holding any determination under this Act, have
the same powers as are vested in a civil court under the Code of Civil Procedure, 1908 (5
of 1908), while trying a suit in respect of the following matters, namely:-

(a) The summoning and enforcing the attendance of any witness and examining him on oath.

(b) The discovery and production of any document.

(c) The reception of evidence on affidavits.

(d)The requisitioning of any public record or document or copy of such record or document
from any court or office and

(e) Such other matters as may be prescribed.

(2)Without prejudice to the generality of the powers contained in sub-section (1), every Lok
Adalat shall have the requisite powers to specify its own procedure for the determination
of any dispute coming before it.

(3)All proceedings before a Lok Adalat shall be deemed to be judicial proceedings within the
meaning of Sections 193, 219 and 228 of the Indian Penal Code (45 of 1860) and every
Lok Adalat shall be deemed to be a civil court for the purpose of Section 195 and Chapter
XXVI of the Code of Criminal Procedure, 1973(2 of 1974).

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Conclusion:
The establishment of Permanent lok adalat has proved to be a very useful and effective
mechanism. It is a friendly system not only for the litigants but the judicial fraternity as well,
as it lifts off the burden imposed on the system .The scope of getting settlements against PUS
serves as a crucial platform for ordinary men and women to seek a remedy against their
malpractices without undergoing the exhaustive and expensive procedures of a traditional
court.

With a change in the economic and social scenario, where the corporate world dominates
over the domains of insurance, communications, etc. it is essential that there exists a
mechanism that gives relief without being too exhaustive. Hence, the system is greatly
appreciated in a country like India, with a developing economy and society.

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