The document summarizes key aspects of conciliation procedures under the Arbitration & Conciliation Act, 1996 in India. It describes conciliation as an informal process where an impartial third party (conciliator) assists parties in reaching an amicable settlement. The conciliator facilitates discussions between parties, makes proposals for settlement, and helps draft an agreement if a settlement is reached. The conciliator is not bound by formal court procedures and aims to guide parties to a fair and speedy resolution of disputes.

1. THE ARBITRATION &
CONCILIATION ACT,1996
PART III:
CONCILIATION
BY: SNEHA AGRAWAL

2. INTRODUCTION
• Conciliation is informal process where a person called conciliator tries bring a dispute into agreement.
• Amicable settlement of disputes between parties with help of third person
• All civil matters or breach of contract or dispute of movable or immovable property can be referred to
conciliation
• Exception
1. Illegal transactions;
2. Matrimonial matters;
3. Criminal nature etc.
• Section 61 to 73 of the act deals with Conciliation.

3. Section 61 : Application and Scope of Part III
• shall apply to conciliation of disputes arising out of legal relationship, whether contractual
or not and to all proceedings relating thereto.
• shall not apply where by virtue of any law for the time being in force certain disputes may
not be submitted to conciliation.
Section 62 : Commencement of Conciliation Proceedings
• no prior agreement needed.
• 2 stages
1. Proposal : written invitation by one party
2. Acceptance : written acceptance by other within period of 30 days.
*Deemed Rejection : If other party does not reply within 30 days, it is deemed to be rejected.
Section 63 & 64 : Number and Appointment of Conciliators
• can be one, two or three. (Maximum not exceed three)
• two parties can mutually appoint one or each party appoint one conciliator each & their shall
appoint third person as presiding conciliator.
• parties can consult institute or any other person for appointment of conciliator.

4. Section 65 : Written statement and Evidence
• Parties to submit written statements describing brief written statement describing general
nature of dispute and point of issue in plain simple unambiguous language.
• Copy must simultaneously sent to the other party.
• Detailed reply should be send by other party supported by documentary and other evidence.
• Can ask for additional information if thinks appropriate.
Procedure of Conciliation Proceeding
Section 66: The conciliator is not bound by the Code of Civil Procedure, 1908 or the
Indian Evidence Act, 1872
Section 67: Role of Conciliator
• assist the parties in an independent and impartial manner
• guided by principles of objectivity, fairness and justice
• conduct the conciliation proceedings in a manner considers appropriate as per circumstances of the
case, the wishes the parties may express, including any request by a party that the conciliator hear
oral statements, and the need for a speedy settlement of the dispute.
• make proposals for a settlement of the dispute

5. Section 68 : Administrative assistance
• The parties, or the conciliator with the consent of the parties, may arrange for administrative
assistance by a suitable institution or person.
Section 69 & 70 : Communication & Disclosure of information between conciliator and parties
• conciliator may invite the parties to meet him either orally or in writing.
• place of meeting shall as agreed by parties, if not, it shall be determined by the conciliator, after
consultation with the parties.
• Conciliator on receiving some information from one party in connection with dispute, he shall
disclose the substance of that information to the other party.
• provided that when a party gives any information to the conciliator subject to a specific condition
that it be kept confidential, the conciliator shall not disclose that information to the other party.
Section 71 & 72 : Co-operation of parties & Suggestions by parties for settlement of dispute
• The parties shall in good faith co-operate with the conciliator to submit written materials, provide
evidence and attend meetings.
• Each party may submit to the conciliator suggestions for the settlement of the dispute.

6. SETTLEMENT AGREEMENT
Section 73 : Formulation of Settlement Agreement
• Once both the parties agree, the conciliator shall draft settlement agreement and submit
them to the parties for their observations.
• After receiving the observations of the parties, the conciliator may reformulate the same.
• The parties sign a written settlement agreement.
• When the parties sign the settlement agreement, it shall be final and binding on the
parties.
• The conciliator shall authenticate the settlement agreement and furnish a copy thereof to
each of the parties.
• The settlement agreement has same status and effect as if it is a arbitral award.