The Central Government has formally established the Mediation Council of India (MCI) under Section 31(1) of the Mediation Act, 2023 (the “Act”), with its head office in Delhi. The notification marks an important step towards operationalising the institutional framework contemplated under the Act and strengthening India’s position as a centre for domestic and international mediation.
The MCI will function as a statutory body corporate with perpetual succession and the power to acquire and dispose of property, enter into contracts and sue or be sued in its own name. The MCI may also establish offices in India and abroad in consultation with the Central Government.
The Council will comprise a Chairperson, members with expertise in mediation/alternative dispute resolution, representatives of the Departments of Legal Affairs and Expenditure, the Chief Executive Officer (CEO) as an ex-officio Member-Secretary and a part-time member representing a recognised body of commerce and industry. Members other than ex-officio members will generally hold office for four years, subject to the statutory eligibility and age requirements.
The MCI has been entrusted with a broad regulatory and institutional mandate. Its functions include promoting domestic and international mediation, developing India as a robust mediation centre, prescribing standards for the education, certification and assessment of mediators, regulating mediator registration and prescribing professional and ethical standards for mediation practice.
The MCI will also have a role in recognising and regulating mediation institutes and mediation service providers, conducting training and workshops, facilitating engagement with domestic and international institutions and maintaining an electronic depository of mediated settlement agreements. It may also collect relevant information and publish research and data relating to mediation.
The framework further provides for a Mediation Fund, to be administered by the MCI for promoting, facilitating and encouraging mediation. The MCI is also required to monitor the implementation of the Mediation Act and submit periodic reports to the Central Government.
Notably, the notification does not itself bring any new provisions of the Mediation Act into force. Sections 31 to 38, which contain the principal provisions relating to the MCI, had already come into force on October 9, 2023. The recent notification instead exercises the power under Section 31(1) to formally constitute the statutory council contemplated under the Act.
The establishment of the MCI represents a significant institutional development in India’s alternative dispute resolution (ADR) landscape, particularly for commercial and cross-border disputes. With the MCI now formally constituted, greater regulatory oversight, standardisation of mediation practice and development of institutional mediation are expected to support the wider adoption of mediation as an effective mechanism for dispute avoidance and resolution.