By S&S Co. Advocates & Solicitors · Published 29 September 2026 · Informational content, not legal advice. See our disclaimer
What the 2019 Act Introduced
The Consumer Protection Act, 2019 introduced a structured mediation mechanism as an alternative dispute resolution route for consumer disputes, to be administered through consumer mediation cells attached to the District, State and National Commissions. This was a notable departure from the earlier 1986 Act, which did not provide a formal mediation framework within the consumer forum structure.
How a Dispute Reaches Mediation
Once a complaint is admitted, a consumer forum may refer the dispute to mediation where the parties agree, or in certain circumstances where the forum considers it appropriate, provided the matter is one where mediation is not statutorily excluded. Mediation is generally a voluntary process: a party is not compelled to reach a settlement, and if mediation is unsuccessful, the complaint proceeds through the ordinary adjudicatory process before the forum.
What Mediation Can and Cannot Achieve
Mediation can be well suited to disputes where the parties have an ongoing relationship worth preserving, where the core disagreement is more about the appropriate remedy than about disputed facts, or where a faster, less adversarial resolution is preferred. It is generally less suited to disputes involving genuinely disputed facts requiring evidence, such as contested medical negligence claims, or where one party seeks a formal, binding precedent-setting order rather than a private settlement.
The Settlement's Legal Effect
Where mediation results in a settlement, the terms are recorded and, upon the consumer forum's satisfaction that the settlement is fair and lawful, given effect through an order of the forum: giving the settlement the same enforceability as a formal adjudicated order, while avoiding a fully contested hearing.
Deciding Whether to Opt for Mediation
A complainant or opposite party considering mediation should weigh the likely time and cost savings against the strength of their own case on the merits: a party with a strong, well-documented claim may prefer to proceed to adjudication, while a party facing genuine factual or valuation uncertainty may find mediation a more efficient route to a workable resolution.
Frequently Asked Questions
Is mediation compulsory under the Consumer Protection Act, 2019?
No. Mediation is generally a voluntary process; parties are not compelled to reach a settlement, and an unresolved dispute proceeds through the ordinary adjudicatory process.
Who conducts consumer mediation?
Mediation is administered through consumer mediation cells attached to the District, State and National Commissions under the 2019 Act's framework.
Is a mediated settlement legally enforceable?
Yes. Once the consumer forum is satisfied the settlement is fair and lawful, it is given effect through an order of the forum, making it enforceable in the same manner as an adjudicated order.
What kinds of disputes are less suited to mediation?
Disputes involving genuinely contested facts requiring evidence, such as many medical negligence claims, are generally less suited to mediation than disputes centred mainly on the appropriate remedy.
References & Further Reading
This article references the following statutes and general principles. It is educational content, not advice on any specific complaint.
- Consumer Protection Act, 2019, Chapter V: mediation.
- See our Consumer Protection practice area and related Consumer Complaint Filing guide for further reading.