Conciliation Rules, 2025
Rule 1: Definitions
In these Rules, unless the context otherwise requires:
(a) “Act” means the Arbitration and Conciliation Act, 1996, as amended from time to time. (b) “Case Manager” means the individual appointed by the Registrar to administer the proceedings, coordinate communications, maintain records on the SettleSense Platform, and provide administrative or drafting assistance as permitted under these Rules. (c) “Conciliator” means the neutral person or persons appointed under these Rules to assist the parties in reaching an amicable settlement of their dispute. (d) “Costs” include the fees of the conciliator(s), the fees of the Case Manager, SettleSense administrative charges, expenses of any expert advice, venue or technology costs, and any other disbursements agreed by the parties or determined by the Registrar in consultation with the parties. (e) “Initiating Party” means the party that submits a request for conciliation. (f) “Parties” means all persons or entities who have agreed to participate in the conciliation. (g) “Platform” means the secure online portal or digital communication channels provided by SettleSense for case management, submissions, and updates. (h) “Registrar” means the officer or authorised representative of SettleSense designated to manage the administrative functions of these Rules. (i) “Settlement Agreement” means the written agreement signed by the parties and authenticated by the conciliator in accordance with Section 73 of the Act. (j) “Rules” means these SettleSense Conciliation Rules, 2025.Rule 2: Scope and Application
2.1 These Rules apply to all disputes submitted to conciliation under the Act, whether arising out of contractual or non-contractual legal relationships, unless prohibited by law.
2.2 At every stage, the parties are free, by mutual written agreement, to adopt or modify any procedure for the conduct of conciliation, provided such agreement does not conflict with the Act.
Rule 3: Commencement of Proceedings
3.1 Request for Conciliation: Any party may initiate proceedings by submitting a written request through the Platform or by email or by Whatsapp to SettleSense, stating:
(a) Names and contact details of all parties, (b) A brief description of the dispute and relief sought, and (c) Any supporting documents or prior settlement terms.3.2 The Registrar shall issue an Invitation to Conciliate to the other party.
3.3 Proceedings commence when the other party accepts the invitation in writing or electronically.
3.4 If the invitation is rejected or no reply is received within thirty (30) days (or any mutually agreed period), the request is deemed refused and the proceedings stand terminated.
3.5 Parties may jointly initiate conciliation by a combined request, in which case the Registrar shall proceed directly to appoint the Case Manager and Conciliator.
Rule 4: Case Manager
4.1 Upon commencement, the Registrar shall appoint a Case Manager from the SettleSense panel.
4.2 The Case Manager shall:
(a) Coordinate communications between the parties and the conciliator, (b) Provide administrative guidance and process updates, (c) Verify authenticity of submissions, and (d) Maintain a secure record of all communications on the Platform.4.3 The Registrar may replace the Case Manager at any time.
4.4 The Registrar as per his discretion may waive the Case Manager appointment on a case-to case basis.
Rule 5: Appointment of Conciliator(s)
5.1 Unless otherwise agreed, one conciliator shall be appointed from the SettleSense panel.
5.2 The Registrar will notify the parties of the appointment and provide relevant disclosures.
5.3 The conciliator must be independent, impartial, and guided by principles of fairness.
5.4 Parties may agree to appoint more than one conciliator, who shall act jointly.
Rule 6: Role and Powers of the Conciliator
6.1 The conciliator shall assist the parties in an independent and impartial manner to reach an amicable settlement.
6.2 The conciliator may:
(a) Conduct joint or separate meetings (online or in person), (b) Request written statements or documents, (c) Make settlement proposals at any stage, (d) Determine the manner of proceedings, subject to any procedure mutually agreed by the parties, and (e) Seek expert opinion where necessary.6.3 The conciliator is not bound by the Code of Civil Procedure or the Indian Evidence Act.
6.4 Information given to the conciliator subject to confidentiality shall not be disclosed to the other party without consent.
Rule 7: Conduct of Proceedings
7.1. Conciliation may be conducted by video conference, telephone, email, or any other method agreed by the parties.
7.2. Parties shall cooperate in good faith and make all reasonable efforts to achieve a prompt and fair settlement.
7.3. Unless otherwise agreed, the proceedings should be completed within 120 Days of acceptance of the invitation, with possible extension by mutual consent.
7.4. The parties may jointly agree on any alternative timetable, exchange format, or procedural step, which shall prevail over these Rules to the extent consistent with the Act.
Rule 8: Settlement Agreement
8.1 When the conciliator perceives elements of a settlement, the conciliator shall formulate draft terms and submit them to the parties for their observations. After considering comments, the conciliator may reformulate the draft.
8.2 The parties themselves can also agree upon the terms of settlement and ask the conciliator to help them draft the settlement agreement.
8.3 Case Manager Assistance: At the request of the conciliator and parties, the Case Manager may assist in preparing the draft agreement and verifying its execution.
8.4 The conciliator shall authenticate the signed agreement and provide copies to the parties, the case manager and the Registrar for further action.
8.5 The Settlement Agreement shall have the same status and effect as an arbitral award on agreed terms under Section 74 of the Act and is final and binding on the parties and persons claiming under them.
8.6 Parties remain free to adopt any alternative method of recording their settlement, provided it satisfies the requirements of Section 73 of the Act.
Rule 9: Confidentiality and Admissibility
9.1 All matters relating to the proceedings, including proposals, admissions, and the Settlement Agreement, shall remain confidential except where disclosure is necessary for implementation or enforcement.
9.2 Parties shall not rely on or introduce as evidence in any arbitral or judicial proceedings:
(a) Settlement proposals, (b) Admissions made during conciliation, or (c) Any indication of willingness to accept a proposal.Rule 10: Termination of Proceedings
Conciliation proceedings terminate:
(a) On the date of signing the Settlement Agreement, (b) By a written declaration of the conciliator, after consultation with the parties, that further efforts are unjustified, (c) By a written declaration of any party to the conciliator that it is terminating the proceedings, or (d) Automatically if no conciliator is appointed within a reasonable time.The parties may agree on additional or different termination triggers consistent with the Act.
Rule 11: Costs & Deposits
11.1 Costs shall include all items defined in Rule 1(d) and any other expense incurred during the proceedings.
11.2 Unless otherwise agreed, costs shall be shared equally between the parties.
11.3 Unless the parties mutually agree otherwise, they shall, prior to the continuation of the proceedings, deposit with the Registrar such advance towards costs as may be specified.
11.4 This deposit shall ordinarily include the dispute-registration fee, the Case Manager’s administrative charges, and a reasonable portion of the conciliator’s fee, the quantum of which shall be determined by the Registrar in consultation with the parties.
11.5 The Registrar shall determine and communicate the final statement of costs at the conclusion of the proceedings, subject to any agreement between the parties on allocation.
Rule 12: Miscellaneous
12.1 These Rules shall be interpreted to give effect to the objectives of party autonomy, speedy resolution, and fairness.
12.2 Any matter not specifically provided for shall be governed by Part III of the Arbitration and Conciliation Act, 1996, and by any additional procedure mutually agreed by the parties.