Permanent Lok Adalat jurisdiction limited to pre-litigation public utility service disputes; mandatory conciliation required before merits adjudication, irrespective of party non-appearance.

JUDGMENT :

P.M. Manoj, J.

The writ petition is filed challenging Ext.P10 order passed by the Permanent Lok Adalat on the ground that the award was rendered beyond the jurisdiction conferred under Sections 22B and 22C of the Legal Services Authorities Act, 1987 (for short ‘the Act’).

2. The case of the petitioner is that it is a promoter company engaged in the business of infrastructure development and allied activities. Disputes arose between the petitioner company and the first respondent Association, pursuant to which the first respondent approached the Permanent Lok Adalat by filing Ext.P1 original petition. The petitioner filed Ext.P2 written statement, wherein it was contended that Section 22C of the Act delineates the jurisdiction of the Permanent Lok Adalat to take cognizance of cases filed before it. It is submitted that as per section 22C, a party may make an application to the Permanent Lok Adalat for settlement of a dispute only before the dispute is brought before a court. In the present case, it is further contended that there are pending and past litigation's concerning the subject matter of the complaint now pending before the Permanent Lok Adalat, and that the complainant has suppressed material facts while preferring the said complaint.

3. It is further contended by the petitioner that, as stated in the written statement, the petitioner had already approached the Munsiff Court, Ernakulam by filing O.S.No.604/2007 prior to the initiation of O.P.No.270/2017. Hence, the matter had already been seized of by the Civil Court and, therefore, the Permanent Lok Adalat was barred from considering the disputes raised in the original petition.

4. It is further submitted that Section 22B of the Act, which provides for the establishment of Permanent Lok Adalat contemplates the exercise of jurisdiction only in respect of one or more public utility services and within such areas as may be specified by notification. Therefore, the Permanent Lok Adalat has limited and specified jurisdiction.

5. Section 22A of the Act, provides definitions for the purpose of pre-litigation conciliation and settlement, defines “public utility service” under clause (b) as follows:

“Public utility service” means any—

(i) transport service for the carriage of passengers or goods by air, road or water; or (ii) postal, telegraph or telephone service; or

(iii) supply of power, light or water to the public by any establishment; or

(iv) system of public conservancy or sanitation; or

v) service in a hospital or dispensary; or

(vi) insurance service.

6. It is also pointed out that Section 22C(5) of the Act, specifically deals with the conduct of conciliation proceedings before the Permanent Lok Adalat. The provision makes it clear that the primary function of the Permanent Lok Adalat is to facilitate settlement between the parties through conciliation. For the sake of convenience, the relevant provisions are extracted below:

“(5) The Permanent Lok Adalat shall, during the conduct of conciliation proceedings under sub-section (4), assist the parties in their attempt to reach an amicable settlement of the dispute in an independent and impartial manner.

x x x x x

(7) When a Permanent Lok Adalat, in the aforesaid conciliation proceedings, is of the opinion that there exist elements of settlement which may be acceptable to the parties, it may formulate the terms of a possible settlement of the dispute and give the same to the parties concerned for their observations; and in case the parties reach an agreement on the settlement of the dispute, they shall sign the settlement