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UNIVERSITY OF ALLAHABAD
FACULTY OF LAW
B.A. LL.B. (Hons.)
Semester VIl
Subject-
Alternate
Dispute
Resolution

TOPIC – Lok-Adalat under Legal Services Authority Act 1987

Submitted to – Submitted by-

Mr. JS Singh Abhinav Gupta
Dean, Section – A
Faculty of Law, Roll- 06
University of Allahabad Batch: 2020-2025

Index
S. Topics Page
No. No.
1. Introduction 3

2. Organization of Lok Adalats 3-4

3. Jurisdiction of Lok Adalats 5

4. Powers of Lok Adalats 6-7

5. Functioning of Lok Adalats 7-8

6. Scope of Lok Adalats 8-9

7. Conclusion 10

8. Bibliography 10

Introduction
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Section 19 of the Legal Services Authorities Act provides for the
establishment of Lok Adalats. Legal service authorities at all levels,
including the central, state, and district levels, shall hold Lok Adalats.

Lok Adalats serve as an alternate dispute resolution system. Their

purpose is to settle cases that are pending or that have not been heard
in the courts.
It consists of judicial officers or an authorized person under the
jurisdiction of the state, central government, or local government.

Following the conciliation of disputes between the parties and the

agreement of the parties, the award is handed down by conciliators in
accordance with Section 21 of the Act. The award has the same legal
effect as a court decision.

Organisation

Lok Adalats are judicial bodies set up for the purpose of facilitating
peaceful resolution of disputes between the litigating parties.

They have the powers of an ordinary civil court such as summoning,

examining, taking evidence etc. These Adalats can resolve, matters except
criminal cases that are non-compoundable.

Section 19 of the Legal Service Authorities Act, 1987 provides that every
Central, State or District Legal Services Authority or Supreme Court Legal
Services Committee and High Court Legal Services Committee, as the case
may be, the Taluka Legal Service Committee shall organise Lok Adalats at
such intervals and places and for exercising such jurisdiction and for such
areas as it

1. A sitting or retired Judicial Officer, and

2. Other persons of repute as may be prescribed by the State Authority
or District Authority or the Supreme Court Legal Services
Committee, or the High Court Legal Services Committee organising
such Adalats.

The qualifications and experience of these persons 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.

Rule 13 of the National Legal Services Authority Rules provides that a

person shall not be qualified to be included as a Lok Adalat member unless
he is:

1. A member of legal profession; or

2. A person of repute who is specially interested in the implementation
of the Legal Services Scheme and programmes; or
3. An eminent social worker who is engaged in the upliftment of the
weaker section of the people, including the Scheduled Castes,
Scheduled Tribes, women, children, rural and urban sector.

Sub-section (4) of the Section 19 further provides that the experience and
qualifications of other persons as mentioned earlier for Lok Adalats other
than those which are prescribed by the Central Government in consultation
with the Chief Justice of the Supreme Court, shall be such as may be
prescribed by the State Government in consultation with the Chief Justice
of the concerned High Court.
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Jurisdiction of Lok Adalats

The matters over which the Lok Adalat has the jurisdiction are enumerated
in Section 20 of the Legal Services Authorities Act which reads as follows:

Cognizance of cases by Lok Adalats can be taken where in any case

pending before any court for which Lok Adalat organised

(1)The parties thereof agree; or

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

(3)The Court is satisfied that the matter is an appropriate case of which

the Lok Adalat can take cognizance.

The settlement in Lok Adalat shall be guided by the principles of justice,

equity, fair play and natural justice.

Where no settlement or compromise has been arrived at through

conciliatory efforts of the Lok Adalat, the matter shall be returned to the
concerned Court which had referred the case to Lok Adalat and that Court
will proceed to deal with such case from the stage which was reached before
the reference was made.
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Powers of the Lok Adalat

The proceedings pf the Lok Adalat shall be deemed to be judicial

proceedings and therefore Lok Adalat shall have the same powers as are
vested in a Civil Court under the Code of Civil Procedure, 1908 while
trying the suit in respect of the following matters, namely-

(a)Summoning and enforcing the attendance of any witness and

examining him on oath;

(b)Discovery and production of any document;

(c)Receiving evidence or affidavits;

(d)Requisitioning of any public record or document or copy thereof from

any court or office, and

(e)Such other matters as may be prescribed.

Lok Adalat has also the power to specify its own procedure for the
determination of any dispute coming before it.

The High Court of Delhi in its landmark decision in Abdul Hasan &
National Legal Services Authority v Delhi Electricity Board and other1,
through Mr. Justice Anil Dev Singh observed:
“Article 39-A of the Constitution of India provides for equal justice
and free legal aid. It is, therefore, clear that the State has been ordained to
secure a legal system, which promotes justice on the basis of equal
opportunity.

1 AIR 1999 Del 88.

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The language of Article 39-A is couched in mandatory terms. This is made
more than clear by the use of the twice-occurring word ‘shall’ in Article
39A.
It is emphasised that the legal system should be able to deliver justice
expeditiously on the basis of equal opportunity and provide free legal aid to
secure that opportunities for getting justice are not denied to any citizen by
reason or economic or other disabilities.”

In the case of P.N. Kohli v state of Delhi2, it has been held that though Lok
Adalat itself has no jurisdiction in respect of non-compoundable matters but
the criminal proceedings arising out of allegations of theft of electricity
under Section 379 IPC have been quashed by the High Court on the basis
of settlement before the Lok Adalat.

In the Sukhlal v State of Uttar Pradesh3, the Court held that Section 19(5)
of the Legal Services Authorities Act, 1987 makes it clear that if the
offence in respect of which the accused were being, was not compoundable
under the law, the Lok Adalat has no jurisdiction to decide the case.

In Santosh Gupta v Life Insurance Corporation, Bombay4, it was held

that the Lok Adalat cannot adjudicate upon rights of parties unless there was
compromise or settlement between them. Thus, the Lok Adalat could only
pass a consent decree and had no jurisdiction to decide the case on merits.

Functions of Lok Adalat

The following are the functions of Lok Adalat:

2 2000 (88) DLT 852.

3 AIR 2002 Cr. LJ 1524.
4 AIR 2004 NOC 118 (P&H).
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1. Lok Adalat members should be impartial and fair to the parties.
2. Lok Adalat is responsible for handling pending cases in court. In the
case of a Lok Adalat settlement, the court fee paid to the court on the
petition will be reimbursed
3. When filing a dispute with Lok Adalat, you do not have to pay a court
fee.

Scope of Lok Adalat

Unlike the Supreme Court, Lok Adalat is extremely broad to incorporate

most of the cases pending before it as well as new cases that will be filed in
the near future to be settled.

The Lok Adalat does not have jurisdiction over cases relating to offences
that cannot be compounded under any law.

The Lok Sabha does not refer such matters to committees without giving the
other party a reasonable opportunity to be heard. The Lok Adalat proceeds
to resolve any case referred to it and tries to negotiate a mutually acceptable
outcome between the parties involved with the case.

Whenever a Lok Adalat decides a case before it, it adopts the most extreme
efforts for a trade-off or settlement. The following points elaborate on the
scope of Lok Adalats:

1. If no settlement or compromise is reached by the parties after the Lok

Adalat passes, no order is given.

2. A reference will be sent automatically to the Court that drew up the

reference for disposition. Those involved in the dispute are urged to
seek redressal in courts.
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3. If the terms proposed by the bench do not satisfy the parties, the Lok
Adalat cannot be forced to compromise or reach a settlement. Orders
from Lok Adalats are definitive and restrict the parties.

4. An order passed by a judge is a satisfactory means of stopping the

proceedings that demand justice.

5. Lok Adalats have enough powers under the Act to make justice
without compromising the quality of their awards. The Lok Adalat’s
final order is considered judicial since it is given the status of a decree.

6. A Civil Court recognizes it as a form of evidence and is given the

power to summon, discover, and get an affirmation.

In the case of P.T. Thomas v. Thomas Job (2005), the Apex Court
specifically explained what Lok Adalat is. According to the Court, Lok
Adalat is an ancient form of adjudicating system that once predominated in
India, and its validity has not been questioned even today.

According to Gandhian principles, the term Lok Adalat means “People’s

Court”. It is an essential component of alternative dispute resolution. If the
dispute is resolved at Lok Adalats, there is no court fee, and if it is already
paid, the fee will be refunded.

According to the case of B.P. Moideen Sevamandir and others v.

AM Kutty Hassan (2008), the parties can communicate directly
through their attorneys, which is far more convenient than speaking in
a regular courtroom. Because Lok Adalats are dynamic, they are able
to balance the interests of both parties and pass orders that both sides
find acceptable.

Conclusion
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Lok Adalat, established under the Legal Services Authority Act 1987 in
India, has proven to be a significant mechanism for alternative dispute
resolution. It offers an efficient and accessible way to resolve disputes,
promoting social justice and reducing the burden on the traditional
court system. Lok Adalats encourage compromise and amicable
settlements, saving time and costs for litigants. By focusing on
conciliation and mediation, they foster a more inclusive and
participatory approach to justice. However, their effectiveness also
relies on awareness and participation, and further efforts are needed to
enhance their reach and impact, ensuring a swifter and more equitable
resolution of disputes in the country.

Bibliography
Dr N.V. Paranjape, Law Relating to Arbitration Conciliation in India, 9th
Edition 2023, Central Law Agency, Allahabad.