consumer protection mediation

Ministry of Consumer Affairs has notified the Consumer Protection (Mediation) Rules, 2020 on 15th July, 2020.

Mediation has been provided for in section 74 of the Consumer Protection Act, 2019. There will be a Mediation Cell in each District Commission and State Commission. Each Mediation Cell shall have a panel of mediators who shall be appointed on the recommendations of a selection committee comprising of the President and member of that commission. Each mediation cell shall have support staff and administrative assistance. 

What matters cannot be referred to mediation is specified. These are

(a) the matters relating to proceedings in respect of medical negligence resulting in grievous injury or death; 

(b) matters which relate to defaults or offences for which applications for compounding of offences have been made by one or more parties; 

(c) cases involving serious and specific allegations of fraud, fabrication of documents, forgery, impersonation, coercion; 

(d) cases relating to prosecution for criminal and non-compoundable offences; 

(e) cases which involve public interest or the interest of numerous persons who are not parties before the Commission: 

Even outside these specified cases, the Commission can decide to not to refer such cases to mediation, if it appears to the Commission that any settlement is impossible to obtain in a particular case or that mediation is not the appropriate remedy considering the circumstances of the case concerned. 

In case settlement is reached at pursuant to mediation, then the parties shall be entitled to receive refund of their full application fees in respect of that complaint. 

While the mediation is in progress the parties have no power to resort to arbitral or judicial proceedings to decide the same case. 

Any settlement arrived at shall not be discharged upon the death of any of the parties. It shall be carried forward and enforced against the heirs and successors therein. 

Copy of the notification can be found

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