2. MODES OF RESOLUTION OF DISPUTES
• Litigation
• Arbitration
• Conciliation
• Mediation
• Negotiation
3. Arbitration?
Arbitration is a form of dispute resolution.
Arbitration is the private, judicial determination of a
dispute, by an independent third party. An
arbitration hearing may involve the use of an
individual arbitrator or a tribunal. A tribunal may
consist of any number of arbitrators though some
legal systems insist on an odd number for obvious
reasons of wishing to avoid a tie. One and three are
the most common numbers of arbitrators. The
disputing parties hand over their power to decide
the dispute to the arbitrator(s). Arbitration is an
alternative to court action (litigation), and generally,
just as final and binding (unlike mediation,
negotiation and conciliation which are non-binding).
4. Arbitration, while being nicknamed the ‘businessman’s method of resolving disputes’, is governed by
state and federal law. Most states have provisions in their civil practice rules for arbitration. These
provide a basic template for the arbitration as well as procedures for confirmation of an arbitrator’s
award (the document that gives and explains the decision of an arbitrator), a procedure that gives an
award the force and effect of a judgment after a trial in a court. Many states have adopted the Uniform
Arbitration Act, although some states have specific and individual rules for arbitration.
5. PRINCIPLES OF ARBITRATION
1) INDEPENDENCE AND IMPARTIALITY
The conciliator should be independent and impartial. He should assist the parties in an independent
and impartial manner while he is attempting to reach an amicable settlement of their dispute.
2) FAIRNESS AND JUSTICE
The conciliator should be guided by the principles of fairness and justice. He should take into
consideration ,among other things , the rights and obligations of the parties, the usages of the trade
concerned ,and the circumstances surrounding the dispute ,including any previous business practices
between the parties.
3) CONFIDENTIALITY
The conciliator and the parties are duly bound to keep confidential all matters relating to conciliation
proceedings. Similarly when a party gives a information to the conciliator on the condition that it be
kept confidential , the conciliator should not disclose that information to the other party.
6. When the conciliator receives a information about any fact relating to the dispute from
party , he should disclose the substance of that information to the other party . The
purpose of this provision is to enable the other party to present an explanation which
might consider appropriate.
4) CO-OPERATION OF THE PARTIES WITH CONCILIATOR / ARBITRATOR.
The parties should in good faith cooperate with the conciliator. They should submit the
written materials , provide evidence and attend meetings when the conciliator requests
them for this purpose.
8. • The most important for prevention and settlement of industrial disputes through third party
intervention.
• The settling of disputes without litigation.
• It’s a method of settlement.
• It’s a process by which discussion between parties is kept going through the participation of
conciliator.
• It brought both the parties of dispute into harmony.
CONCILIATOR
• The conciliator is a neutral party who without using any force , seeks to find some middle cause for
mutual agreement between the disputants so that the dead lock is brought to an end at the earliest
possible moment and normal peace restored.
• He tries to bridge the gulf between two contenting parties, and if he does not succeed ,he tries to
reduce the difference's as far as possible, by tendering advice to them and working out an amicable
settlement.
• He cannot suggest solutions but suggests alternative solutions.
9. ADVANTAGES OF CONCILIATION
• Conciliation ensures party autonomy.
• Conciliation ensures the expertise of the decision maker.
• It is time and cost efficient.
• Conciliation ensures confidentiality.
10. PROCEDURE OF CONCILIATION
After the dispute has been referred to the arbitrator, he will hear both the parties.
arbitrator, he will hear both the parties.
Hearing involves mastery of the facts of a particular dispute as well as the relevant
particular provisions of the collective agreement and of the past practices of the parties in
relation to matters relevant to the dispute.
• The party should be free to give any evidence which is relevant to the enquiry and on
which it relies for its arguments. The evidence given by one party should be taken in the
presence of the other party so that the other party may rebut and place counter evidence,
if necessary.
• When an important witness is unable to attend sworn affidavit is often used.
• After the collection of facts and supporting materials, arguments take place.
11. • To cover comprehensively the domestic arbitration and
conciliation and international commercial arbitration.
• To make provision which is fair, efficient and capable of
meeting the needs of the specific arbitration.
• To provide that the Arbitral Tribunal gives reasons for its
Arbitral Award.
• To ensure that the Arbitral Tribunal remains within the limits
of jurisdiction.
• To minimize the supervisory role of courts in arbitral process.
• To permit the Arbitral Tribunal for using meditation,
conciliation or other procedures during the arbitral
proceedings to encourage the settlement of disputes.
• To provide that every final award is enforced in the same
manner as if it were a degree of the court.
MAIN OBJECTIVES OF THE ARBITRATION AND CONCILIATION ACT, 1996
