The Mediation Act, 2023 presented by the Ministry of Law and Justice under the aegis of the Department of Legal Affairs came into force on 9^th October 2023. This enforcement provides statutory provisions for establishing a corporate body known as “The Mediation Council of India”. The Act provides for 10 sections in Chapter VIII, completely dedicated provisions relating to composition, resignation, removal, experts & committee establishment, and council functions & duties. The provisions of the Council have been elaborated below:

Establishment & Purpose of the Council

The Mediation Council of India is a national council. It has been established by way of notification by the Central Government. It is characterized by features like perpetual succession, common seal, power to acquire, hold and dispose of both moveable & immovable property, enter into a contract and sue or be sued in its name.

The Head Office of the Mediation Council shall be in Delhi or at such place as notified by the Central Government for better expansion of service & convenience. The Council is also empowered to establish offices at other places in India and abroad in consultation with the Central Government.

Composition

Section 32(1) of the Mediation Act deals with the composition of the Council. The Council is to be furnished with the following authorities/members:

1. Chairperson: The Act provides for a Chairperson, who shall be an individual having standing ability and integrity, adequate knowledge & expertise in dealing with matters related to law, alternative dispute resolution (preferably mediation), public affairs and administration. Such individuals must be duly appointed by the Central Government.

2. Member: The Act provides for 2 full-time members, with prior experience in law related to ADR or experience in research or teaching in the mediation & ADR law field.

3. Ex-Officio Members: The section states the requirement of 3 ex-officio members in the council. They should be Secretary of the Government of India in the Department of Legal Affairs, Ministry of Law and Justice and in the Department of Expenditure, Ministry of Finance or their representative respectively, not below the rank of Joint Secretary. Additionally, a Chief Executive Officer is also to be appointed.

4. Part Time Member: A representative of a recognized body of commerce & industry chosen by the Central government.

The tenure of office for council, other than ex-officio members, shall be 4 years from the date of the incumbent of office, although they shall be eligible for re-appointment.

Resignation & Removal:

The provision with respect to resignation and removal of the members has been enshrined in Sections 34 and 35 respectively of the Act. Section 34 states that a notice in writing addressed to the Central Government shall be valid. But it will be effective (i.e., such a person can relinquish the office) only after the expiry of 3 months from the date of such notice, or until another appointment is made in his place, or until the expiry of his term of office, whichever is earlier.

Section 35 highlights 6 grounds of removal from office –

1. An insolvent who hasn’t yet paid off his debt (Undischarged Insolvent).
2. Engaged in paid employment at any time during the tenure of office without the permission of the Central Government.
3. Convicted of an offence which is a morally corrupt practice in the eyes of the Central Government.
4. Acquired such financial interests as likely to cause prejudice in the accomplishment of his functions & duties.
5. Abused his position such that his continuance in office shall be prejudicial to the public interest.
6. Become physically and mentally incapable of performing his functions.

However, rules of natural justice such as audi alteram partem, fair trial, and reasoned decisions must be followed in the process of removal/discharge.

Duties & Functions

The Council has been tasked with duties under Section 38 of the Act which is supplemented by the monitoring & reporting in Section 39. The functions are:

1. Take up the prerogative to promote and regulate the domestic and international mediation in India through guidelines and entering into respective Memorandum of Understanding (MoUs).
2. Establishment of manner of conduct for the mediation proceeding in consonance with Section 15 of the Act.
3. Establish framework and guidelines for education, certification and assessment of mediators by recognized mediation institutions.
4. State the process of registration, renewal, withdrawal, suspension or cancellation of registration on the basis of conditions as specified.
5. Establish the standards for professional and ethical conduct of mediators and mediation service providers.
6. Provide training, workshops and courses in mediation in collaboration with mediation service providers.
7. Aim to provide a standard process of recognition of mediation institutions and further renewal, withdrawal, & removal of such recognition.
8. Specify criteria for recognition of mediation institutions.
9. Publish any data, research or any other information gathered as may be required.
10. The maintenance of an electronic depository of any mediated settlement agreement made in India.
11. Any other function as specified by the Central Government.

Monitoring & Reporting

The Council once established is directed by the Central Government to prepare a report on implementation of aforesaid functions of the Council. The report is to be submitted to the Government evaluating the yearly implementations. The Central Government may take such additional measures as it deems necessary to supplement and check effective implementation of the provisions of the Act.