The Mediation Act 2023 > Section 24

Section 24 of Mediation Act 2023 - Termination of Mediation

Section 24 of the Mediation Act, 2023 specifies the events on which mediation proceedings are deemed to terminate. Termination may occur upon a signed and authenticated settlement, a mediator's written declaration, a party's written opt-out communication, or expiry of the statutory time limit under Section 18.

Commencement status: Section 1(3) permits different provisions of the Act to commence on different dates. The Central Government notification dated 9 October 2023 brought specified provisions into force, but Section 24 was not among the provisions listed in that notification. The latest official commencement notification should be checked before relying on Section 24 as an operative provision.
SettlementTermination on signing and authentication of the mediated settlement agreement
Mediator declarationTermination when the mediator declares in writing that further efforts are no longer justified
Party opt-outTermination on written communication of a wish to opt out
Time expiryTermination on expiry of the Section 18 time limit

Section 24 - Termination of mediation

24. The mediation proceedings under this Act shall be deemed to terminate-

(a) on the date of signing and authentication of the mediated settlement agreement; or

(b) on the date of the written declaration of the mediator, after consultation with the parties or otherwise, to the effect that further efforts at mediation are no longer justified; or

(c) on the date of the communication by a party or parties in writing, addressed to the mediator and the other parties to the effect that the party wishes to opt out of mediation;

(d) on the expiry of time limit under section 18.

Termination after a mediated settlement agreement

Under clause (a), mediation terminates on the date the mediated settlement agreement is signed and authenticated. Section 19 deals with the form, signing and authentication of a mediated settlement agreement.

Termination by written declaration of the mediator

Clause (b) applies where the mediator concludes that further mediation efforts are no longer justified. The termination date is the date of the mediator's written declaration. The provision permits that conclusion to be reached after consultation with the parties or otherwise.

Termination when a party opts out

Under clause (c), a party or parties may communicate in writing that they wish to opt out of mediation. The communication must be addressed to the mediator and the other parties, and mediation terminates on the date of that communication.

Termination on expiry of the statutory time limit

Clause (d) links termination directly to Section 18. Section 18 provides the statutory period for completion of mediation and permits a further extension within the limit stated in that provision.

Effect on limitation

Section 29 provides for exclusion of the mediation period when computing limitation for proceedings relating to disputes in respect of which mediation has been undertaken under the Act. One statutory endpoint for that exclusion is termination of mediation under Section 24.

Related provisions

Section 24 should be read with Section 18 - Time limit for completion, Section 19 - Mediated settlement agreement, Section 21 - Non-settlement report and Section 29 - Limitation.

Official legal sources

Department of Legal Affairs - Mediation Act, notifications and corrigendum

India Code - The Mediation Act, 2023

Gazette of India - The Mediation Act, 2023

Legal note: This article is for general legal information. The official Act, commencement notifications, applicable rules and relevant judicial decisions should be checked for a particular mediation or proceeding.