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| + | ====== Consumer Court Mediation: Your 5-Day Consent Window ====== | ||
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| + | You finally got your consumer complaint admitted, you turned up for the first hearing expecting the company to be asked some hard questions, and instead the Commission suggested mediation. That is not a brush-off and it is not compulsory. It is section 37 of the Consumer Protection Act, 2019, and it puts a five day clock on a decision that is entirely yours to make. | ||
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| + | ===== The sequence, and every deadline in it ===== | ||
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| + | - **The suggestion.** Section 37(1): at the first hearing after admission, **or at any later stage**, if it appears to the District Commission that there exist elements of a settlement which may be acceptable to the parties, it may direct the parties to give consent to mediation. There is a carve-out for cases that may be prescribed. | ||
| + | - **Your five days.** Section 37(1) requires that consent to be given **in writing, within five days**. Silence is not consent, and the direction is to give consent, not to mediate. | ||
| + | - **The referral, also five days.** Section 37(2): where the parties agree and give consent in writing, the Commission **shall, within five days of receipt of such consent, refer the matter for mediation**. | ||
| + | - **Where it happens.** Section 79(1): the mediation shall be held **in the consumer mediation cell** attached to the District, State or National Commission, as the case may be. Not in the opposite party' | ||
| + | - **The outcome, written and signed.** Section 80(1): if agreement is reached on all or **only some** of the issues, the terms shall be reduced to writing and signed by the parties or their authorised representatives. Section 80(2): the mediator prepares a settlement report and forwards it with the signed agreement to the Commission. | ||
| + | - **Seven days to an order.** Section 81(1): the Commission **shall, within seven days of the receipt of the settlement report, pass suitable order recording such settlement** and dispose of the matter accordingly. | ||
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| + | That last step is what makes the whole thing worth doing. A mediated settlement in this framework does not stay a private promise. It becomes an order of the Commission. | ||
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| + | ===== What happens if you say no, or if it fails ===== | ||
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| + | Nothing bad, and nothing is lost. The statute is explicit at both exits. | ||
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| + | Section 80(3): where no agreement is reached within the specified time, or the mediator is of the opinion that settlement is not possible, he prepares his report and submits it to the Commission. | ||
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| + | Section 81(3): where the consumer dispute could not be settled by mediation, the Commission **shall continue to hear all the issues** involved. Section 38(1) says the same thing from the other direction, providing for the Commission to proceed with a complaint in respect of cases referred for mediation on failure of settlement. | ||
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| + | And a partial settlement is a real option rather than an all-or-nothing gamble. Section 81(2): where the dispute is settled only in part, the Commission records the settlement of the issues so settled and **continues to hear the other issues**. If the company will refund the money but will not pay compensation, | ||
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| + | <WRAP important> | ||
| + | **Consent is yours, not your lawyer' | ||
| + | </ | ||
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| + | ===== The cell is a public authority holding records you can ask for ===== | ||
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| + | This is the part almost nobody uses, and it is where a consumer dispute meets the Right to Information Act. | ||
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| + | Section 74(1) requires the **State Government** to establish, by notification, | ||
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| + | Section 74(4) then tells you exactly what every cell must hold: | ||
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| + | ^ What the cell must maintain ^ Provision ^ Why it matters to you ^ | ||
| + | | A list of **empanelled mediators** | 74(4)(a) | Lets you check who is on the panel and whether your mediator is on it | | ||
| + | | A list of **cases handled by the cell** | 74(4)(b) | Shows the cell's actual workload and settlement pattern | | ||
| + | | **Record of proceeding** | 74(4)(c) | The file for your own mediation | | ||
| + | | Any other information specified by regulations | 74(4)(d) | Varies | | ||
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| + | Section 74(5) adds a reporting duty: every cell **shall submit a quarterly report** to the District, State or National Commission to which it is attached, in the manner specified by regulations. | ||
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| + | Those are documents held by a public authority. That is the whole test under the Right to Information Act, 2005. | ||
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| + | ===== Who your mediator is, and how to object ===== | ||
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| + | Section 75(1) says the panel of mediators is prepared by the Commission itself, on the recommendation of a **selection committee consisting of the President and a member of that Commission**, | ||
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| + | Section 75(2) leaves the qualifications, | ||
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| + | Two protections sit on top: | ||
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| + | * **Section 77, disclosure.** It is the **duty of the mediator to disclose** any personal, professional or financial interest in the outcome of the dispute, and any circumstances which may give rise to a justifiable doubt as to his independence or impartiality. | ||
| + | * **Section 78, replacement.** Where the Commission is satisfied, on information from the mediator **or from any other person including the parties**, and after hearing the mediator, it **shall replace** that mediator with another. | ||
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| + | Section 76 requires the Commission, when nominating from the panel, to consider the mediator' | ||
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| + | ===== Using RTI when the cell goes quiet ===== | ||
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| + | Mediation stalls in ordinary ways: no date is fixed, the settlement report never reaches the Commission, or the seven day order under section 81(1) never issues. Ask for records rather than for action. | ||
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| + | < | ||
| + | 1. A copy of the notification issued under section 74 of the Consumer | ||
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| + | 2. A copy of the list of empanelled mediators maintained under | ||
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| + | 3. A copy of the quarterly reports submitted by the cell under | ||
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| + | 4. In respect of complaint no. ......... , the date on which consent | ||
| + | under section 37(1) was received, the date of referral under | ||
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| + | 5. A copy of the regulation fixing the fee payable to an empanelled | ||
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| + | </ | ||
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| + | The addressee is the Public Information Officer of the Commission concerned. Watch the thirty day limit in [[https:// | ||
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| + | ===== Questions people ask ===== | ||
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| + | ==== Can I refuse mediation in a consumer case? ==== | ||
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| + | Yes. Section 37(1) directs the parties to give consent in writing within five days, and section 37(2) only allows referral **where the parties agree for settlement by mediation and give their consent in writing**. If you do not consent, the complaint continues to be heard, and section 81(3) confirms that the Commission hears all the issues where the dispute could not be settled by mediation. | ||
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| + | ==== What happens to my case if mediation fails? ==== | ||
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| + | It resumes. Section 80(3) requires the mediator to report a failure to the Commission, and section 81(3) requires the Commission to continue hearing all the issues. Nothing you said in mediation converts into an admission in the complaint, and no separate fresh filing is needed. | ||
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| + | ==== Is a mediated settlement binding? ==== | ||
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| + | It becomes an order. Section 80(1) requires the agreed terms to be reduced to writing and signed, and section 81(1) requires the Commission to pass a suitable order recording the settlement within seven days of receiving the settlement report, and to dispose of the matter accordingly. | ||
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| + | ==== Can only part of my dispute be settled? ==== | ||
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| + | Yes, and the Act plans for it. Section 80(1) expressly covers agreement on **only some** of the issues, and section 81(2) requires the Commission to record the settled issues and continue hearing the rest. | ||
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| + | ==== How much does the mediator cost? ==== | ||
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| + | The Act does not say. Section 75(2) leaves the fee payable to an empanelled mediator to regulations, | ||
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| + | ==== What if I think the mediator is biased? ==== | ||
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| + | Section 77 puts a positive duty on the mediator to disclose any personal, professional or financial interest in the outcome and any circumstance raising a justifiable doubt about independence or impartiality. Section 78 lets the Commission replace a mediator on information from any person, including you, after hearing the mediator. | ||
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| + | ===== Sources ===== | ||
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| + | * **The Consumer Protection Act, 2019**, sections 37, 38, and Chapter V, sections 74 to 81. Full text on India Code at [[https:// | ||
| + | * **The Right to Information Act, 2005**, sections 6 and 7, full text at [[https:// | ||
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| + | ===== Related on RTI Wiki ===== | ||
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| + | * [[https:// | ||
| + | * [[https:// | ||
| + | * [[https:// | ||
| + | * [[https:// | ||
| + | * [[https:// | ||
| + | * [[https:// | ||
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| + | //Reviewed by Dr. Shrawan Kumar Pathak. This page is general legal information, | ||
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| + | {{tag> | ||