Question

Provision for settlement of dispute outside court has been provided under Section .......... of Civil Procedure Code.

• A. 91
• B. 89
• C. 51
• D. 151

Hint:

Section 89 of the CPC is the gateway to Alternate Dispute Resolution (ADR) in civil suits. It allows the court to direct parties towards mediation, conciliation, or Lok Adalat to settle their dispute outside the traditional court process.

Answer 1

The Correct Option is B

Section 89 of the Code of Civil Procedure, 1908, contains the provision for the "Settlement of disputes outside the Court." This section was inserted by an amendment in 1999 to promote Alternate Dispute Resolution (ADR). It empowers the court, where it appears there are elements of a settlement, to formulate the terms of a possible settlement and refer the same for:
Arbitration
Conciliation
Judicial settlement including settlement through Lok Adalat; or
Mediation.
This section is a cornerstone of the ADR movement in India.