2.2.3. Conciliation

This is a process by which resolution of disputes is achieved by compromise or voluntary agreement. In contrast to arbitration, the conciliator does not render a binding award. The parties are free to accept or reject the recommendations of the conciliator.

♤ Conciliators resolve disputes by providing technical assistance, improving communication between parties and proposing possible solutions taking into account parties’ position and interests.

♤ Conciliator is not bound by rules of procedure and evidence and any views expressed, admissions or proposals made in conciliatory proceedings cannot be produce as an evidence in arbitral proceedings. Further, conciliator cannot be produced as witness in judicial proceedings.

The process of conciliation has been given statutory recognition by Arbitration and Conciliation Act, 1996.