Legal and Constitutional Framework

Choose the Correct Answer

Correct Answer : Option b

Explanation
In May 2025, the Supreme Court held that courts can modify arbitral awards under limited circumstances under Section 34 of the Arbitration and Conciliation Act, 1996.
Alternate Dispute Resolution (ADR) is the process of out-of-court settlement, which signifies any out-of-court processes adopted to solve disputes.

Arbitration: It is a form of Alternative Dispute Resolution (ADR) where the dispute is settled outside the court by one or more (usually an odd number of) arbitrators, chosen by both parties involved.
Mediation: A common ADR method where a neutral third party helps both sides communicate and reach a mutually agreeable solution.
Negotiation: It is a type of ADR where usually no third parties, like lawyers, arbitrators, or mediators, are involved, and the two parties at dispute sit down and discuss terms that best serve their mutual interests.
Public Interest Litigation (PIL) is not a method of ADR. It is a process where courts are approached for the protection of public interest, typically through litigation, not through out-of-court settlement mechanisms.
Conciliation: Similar to mediation, but the conciliator may play a more active role in suggesting solutions. The process is voluntary and non-binding unless an agreement is reached.
Lok Adalats: Informal forums where disputes are resolved amicably, often with the help of a judicial officer. The decisions are binding and enforceable.