‘Fee to be refunded once Lok Adalat settles dispute’

  • | Saturday | 12th October, 2019

By Express News ServiceCHENNAI: ONCE a commercial dispute was referred to a Lok Adalat and the matter settled, the court fee paid by the parties should be refunded to them, a division bench of the Madras High Court has held. As they had defaulted in repayment, the bank moved the Debt Recovery Tribunal- II on Anna Salai and the plea was allowed on December 13, 2013. As they could not make the payment, they moved the High Court, which, on March 25, 2014, referred the matter for settlement to the Lok Adalat/Bank Adalat. The matter was settled amicably by the Adalat and the petitioners sought for the refund of the deposited amount. Disposing of the same, the bench observed that Section 89(2)(b) of the CPC makes it clear that once the Court referred the matter to a Lok Adalat under sub-section (1) of Section 20 of Lok Adalat Act, all other provisions of that Act shall apply in respect of the disputes so referred to it.

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