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CS Executive · Jurisprudence, Interpretation and General Laws · Law relating to Arbitration, Mediation and Conciliation

Residents of a colony in Pune reach a settlement agreement through community mediation to keep peace in the locality. What is the legal status of this settlement agreement under the Mediation Act, 2023?

A community mediation settlement agreement is intended to maintain peace, harmony and tranquillity among residents or families of the locality. It is not enforceable as a judgment or decree of a civil court, unlike some other mediated settlements.

  1. AIt is enforceable as a decree of a civil court
  2. BIt is meant to maintain peace, harmony and tranquillity among residents or families of the area but is not enforceable as a judgment or decree of a civil courtCorrect
  3. CIt has the same status as an arbitral award
  4. DIt is void unless a court passes an order in its terms

Explanation

A settlement agreement arrived at under the community mediation chapter serves the purpose of maintaining peace, harmony and tranquillity among residents or families of an area or locality. It is expressly not enforceable as a judgment or decree of a civil court, which rules out the decree and arbitral award options.

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