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| High Court says award of Lok Adalat cannot be questioned | | | Early Times Reporter
Jammu | Feb 20
Justice Varinder Singh of J&K High Court, in a significant judgment has observed that the award of Lok Adalat cannot be questioned.
Dismissing three appeals on the point of maintainability Justice Singh observed that claims settled by Lok Adalat is as equal and at par with decree on compromise and shall have same binding effect. “Just as a decree on compromise cannot be challenged in a regular appeal, the award of Lok Adalat cannot be questioned by way of remedies available under law” observed Justice Singh.
The claimants had impugned orders dated 26.4.04 passed by Lok Adalat, by virtue of which their claims were settled for an amounts 1.75, 3 and 1.75 lakhs respectively.
The claimants pleaded that Lok Adalat had settled the claim petitions without their knowledge and consent as settlement was arrived at by their counsel without informing them. No compromise in writing or signed by claimants was furnished and Lok Adalat had not recorded its satisfaction before settlement of their claims. Even otherwise, the amount settled in three claim petitions was on very lower side.
Commenting upon benefits of Lok Adalat Justice Singh observed that Lok Adalat adopts procedural flexibility and speedy trial of disputes and there is no direct application of procedural laws while assessing claims of compensation. He noted that Lok Adalat is another alternative to Judicial Justice and is a strategy for delivering cheap and expeditious justice to a common man.
The appeals were dismissed concluding that the awards are made by Lok Adalat in terms of settlement arrived at between the parties, having become final and binding on the parties as being decree of Civil Court, do not call for any interference with.
After hearing the counsel for the parties and while referring to various judgments passed by Hon’ble Supreme Court of India held that though award of Lok Adalat is a result of a contest on merits, just as a regular suit in a regular trial, however, it is as equal and at par with decree on compromise and shall have same binding effect.
Mr. R. K. Gupta, Advocate appearing for insurer raised preliminary objections to maintainability of appeals because of statutory bar as contained in Section 96 (3) of CPC. He contended that award passed by Lok Adalat is final and is a decree of Civil Court.
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