The Union Cabinet on Wednesday approved amendments to the Mediation Bill including reducing the maximum timeline for completing mediation proceedings from 360 to 180 days. The official amendments to the law ministry bill are likely to be tabled in the Monsoon session of Parliament beginning Thursday.
The Mediation Bill, 2021 was introduced in Rajya Sabha in December 2021. Later it was referred to parliamentary committee on law and personnel which gave its report. The official amendments cleared by the Cabinet are based largely on recommendations made by parliamentary panel. Under the other key recommendation of panel accepted by government, pre-litigation mediation has been made voluntary instead of mandatory. According to the bill pending in upper house, compulsory pre-litigation mediation in matters of civil or commercial disputes has been provided for before parties approach a court or tribunals.
In case of exceptional circumstances, a party can seek interim relief from court or tribunal not only before commencement of mediation proceedings but also during continuation of proceedings. Disputes, other than commercial disputes, in which central government and state government are a party, cannot be mediated unless nature of disputes which can be referred to mediation are notified.