Section 37B. Recording settlement and passing of order

37B. Recording settlement and passing of order.—(1) The District Commission or the State Commission or the National Commission, as the case may be, shall, within seven days of the receipt of the settlement report, pass suitable order recording such settlement of consumer dispute and dispose of the matter accordingly. (2) Where the consumer dispute is settled only in part, the District Commission or the State Commission or the National Commission, as the case may be, shall record settlement of the issues which have been so settled and continue to hear other issues involved in such consumer dispute. (3) Where the consumer dispute could not be settled by mediation, the District Commission or the State Commission or the National Commission, as the case may be, shall continue to hear all the issues involved in such consumer dispute."; (c) in section 38, in sub-section (1), the words "or in respect of cases referred for mediation on failure of settlement by mediation," shall be omitted; (d) in section 41, the third proviso shall be omitted; (e) Chapter V shall be omitted; - (f) in section 101, in sub-section (2),— - (i) clause (r) shall be omitted; - (ii) clause (zf) shall be omitted; (g) in section 102, in sub-section (2), clause (p) shall be omitted; (h) in section 103, in sub-section (2), clauses (c) to (h) shall be omitted. ———— 1. Subs. by Notification no. S.O. 4506(E) for "shall either on an application by the parties" (w.e.f. 13-10-2023). STATEMENT OF OBJECTS AND REASONS An effective dispute resolution process has a significant impact on the economy and doing business in the country, thereby promoting ease of living for citizens, access to justice and rule of law. The rapidly changing society and progress in various areas not limited to economic, industrial or financial sectors, demand commensurate expeditious settlement of dispute between the parties, which at present is time consuming. Thus, there is a need to further promote Alternative Dispute Resolution (ADR), inter alia, by institutional mediation. The ADR mechanism of mediation though finds mention in various existing laws, but as on date, there is no comprehensive law governing the various aspects of mediation.