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B.A. LL.B. (Five Years) Sem 8 Alternative Dispute Resolution 2015 Jun Question Paper with Solutions

KSLU Solved Question Papers

Alternative Dispute Resolution

Previous Year Question Paper with Solution

B.A. LL.B. (Five Years) · Sem 8

2015 Jun Examination

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Mumbai

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First published on munotes.in on 21 October 2026.

Published by munotes.in, Mumbai.

Model answers written and edited by the munotes.in editorial desk.

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The University does not publish an official answer key for this paper. The answers in this volume are model answers, written to show how a full-mark answer is built. They are a study aid, not an authority on what an examiner marked.

The question paper reproduced here is the paper as set by Karnataka State Law University at the 2015 Jun examination.

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Contents

The questions below are the paper as Karnataka State Law University set it at the 2015 Jun examination, in the order it was set.

MarksPage

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The Paper as Set

The questions in this volume are the questions asked at the 2015 Jun examination, reproduced as Karnataka State Law University set them, in the order it set them. Long reading passages are shortened to their first and last lines and our summary; the original paper prints them in full. Only the answers are ours. See the original question paper.

Duration 2 hours  ·  Total marks 60  ·  13 questions answered

How to use this volume

Solve the paper first, under exam conditions and against the clock. Then read the answers here and mark your own. Reading a solution before attempting the question feels productive and teaches very little, because recognising an answer is not the same as being able to write one.

Read the original question paper

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Q1What is Alternative Dispute Resolution System ? Explain its advantages and disadvantages.[9]

Answer

For full marks, cover: what ADR is (methods of resolving disputes outside the ordinary trial: arbitration, conciliation, mediation, negotiation, Lok Adalat, judicial settlement; section 89 CPC) and its legal framework (Article 39A; the Arbitration and Conciliation Act 1996; the Legal Services Authorities Act 1987; the Commercial Courts Act section 12A; the Mediation Act 2023 in part); the advantages: speed, cost, choice of an expert neutral, flexible procedure, privacy, party control, preserved relationships, enforceable outcomes, relief to courts and access for the poor (Salem Advocate Bar Association 2002); the disadvantages: no precedent, narrow review and finality (Gayatri Balasamy), cost of private arbitration, court challenges that bring back delay (Guru Nanak Foundation), weak coercive power, power imbalance, unsuitable disputes (Booz Allen), pressure to settle (Jalour Singh); a table; conclusion.

What ADR is

Alternative Dispute Resolution (ADR) means the methods of resolving disputes other than a full trial in a court. The main methods are:

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  1. arbitration, a binding decision by a private tribunal the parties choose;
  2. conciliation, help from a neutral who may propose terms;
  3. mediation, help from a neutral who facilitates but decides nothing;
  4. negotiation, direct talks between the parties;
  5. Lok Adalat, settlement before a bench organised by a Legal Services Authority;
  6. judicial settlement, settlement through a judge or an institution acting as a Lok Adalat.

Section 89 of the Code of Civil Procedure lets a court send a pending suit to arbitration, conciliation, judicial settlement including Lok Adalat, or mediation. The legal framework includes the Arbitration and Conciliation Act 1996 and the Legal Services Authorities Act 1987. It also includes section 12A of the Commercial Courts Act 2015 and the parts of the Mediation Act 2023 now in force. Article 39A, which promises equal justice and free legal aid, is its constitutional basis.

Advantages

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  1. Speed. ADR has time limits a court rarely has. A domestic award is due within twelve months after pleadings (section 29A of the 1996 Act). Pre-institution mediation must end within three months (section 12A(3)).
  2. Lower cost. Fewer hearings, little formal evidence and no chain of appeals reduce expense. A Lok Adalat charges no court fee. Fee already paid on a referred case is refunded if it settles (section 21(1) of the 1987 Act).
  3. Choice of an expert neutral. Parties may choose an engineer, accountant or retired judge who understands their trade.
  4. Flexible procedure. Arbitrators and conciliators are not bound by the Code of Civil Procedure or the Evidence Act (sections 19(1) and 66 of the 1996 Act).
  5. Privacy. Conciliation is confidential by law (section 75). So are arbitral proceedings, except where disclosing the award is needed to implement or enforce it (section 42A).
  6. Party control. In mediation, conciliation and negotiation, the parties decide the outcome.
  7. Relationships preserved. A settlement leaves no loser, which suits families, partners and long-term business dealings.
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  1. Enforceable outcomes. An arbitral award is enforced like a decree (section 36), and a conciliation settlement has the status of an award (section 74). A Lok Adalat award is deemed a decree (section 21).
  2. Relief to courts and access for the poor. In Salem Advocate Bar Association, Tamil Nadu v. Union of India, (2003) 1 SCC 49, the Supreme Court upheld section 89 because of "the laws delays and the limited number of Judges". Lok Adalats bring free, local justice to people who could not afford litigation.

Disadvantages

  1. No precedent. Settlements and awards bind only the parties, so legal questions stay unsettled for others.
  2. Little room to correct errors. An arbitral award can be set aside only on the narrow grounds of section 34, never for a mere error of fact. In Gayatri Balasamy v. ISG Novasoft Technologies Ltd, 2025 INSC 605, a Constitution Bench held that courts have only "a limited power" to modify an award. A Lok Adalat award cannot be appealed at all.
  3. Cost of private arbitration. Arbitrators' fees, venue charges and lawyers can make a large arbitration as costly as litigation.
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  1. Delay through court challenges. Applications under sections 9, 11, 34 and 37 can drag an arbitration back into court for years. In Guru Nanak Foundation v. Rattan Singh and Sons, AIR 1981 SC 2075, the Supreme Court regretted that arbitration under the 1940 Act had become "highly technical accompanied by unending prolixity". It said such proceedings had "made lawyers laugh and legal philosophers weep".
  2. Weak coercive power. Mediators and conciliators cannot compel attendance or decide anything. A party determined not to settle can defeat the process.
  3. Power imbalance. A strong party may press a weak, unrepresented party into poor terms.
  4. Unsuitable disputes. Some matters cannot be settled privately. In Booz Allen & Hamilton Inc v. SBI Home Finance Ltd, (2011) 5 SCC 532, the Supreme Court listed criminal offences, divorce, guardianship, insolvency, probate and protected tenancies as non-arbitrable.
  5. Pressure to settle. In mass settlement drives, a party may feel pushed to accept less. In State of Punjab v. Jalour Singh, AIR 2008 SC 1209, the Supreme Court set aside a Lok Adalat "award" that had in fact decided compensation instead of recording an agreement.

A table

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AdvantagesDisadvantages
Quick, with statutory time limitsNo precedent
Cheaper; free in a Lok AdalatNarrow review; no appeal from Lok Adalat
Expert neutral; flexible procedureBig arbitrations can be costly
Private and confidentialCourt challenges can revive delay
Party control; relationships keptNo coercive power; power imbalance
Enforceable as decree or awardSome disputes unsuitable; pressure to settle

Conclusion. ADR covers arbitration, conciliation, mediation, negotiation and Lok Adalats, backed by the 1996 and 1987 Acts and section 89. Its advantages are speed, low cost, expertise, flexibility, privacy and enforceable outcomes, along with relief to overburdened courts. Its disadvantages are the lack of precedent, narrow review, possible cost and delay in arbitration, and unsuitability for some disputes. Salem Advocate Bar Association and Booz Allen together mark both its value and its limits. ADR complements the courts; it does not replace them.

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