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IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
SUVIR SEHGAL
Kewal Singh Mann – Appellant
Versus
Chairman, Permanent Lok Adalat (Public Utility Services), Bathinda – Respondent
JUDGMENT :
SUVIR SEHGAL, J.
1. Petitioner has approached this Court assailing order dated 11.07.2022, Annexure P-4, passed by the Permanent Lok Adalat (Public Utility Services), Bathinda (for short “Lok Adalat”), whereby an application filed by respondents No.2 and 3 under Section 8 of the Arbitration and Conciliation Act, 1996 (for short “Arbitration Act”), has been accepted.
2. A petition under section 22-C of the Legal Services Authorities Act, 1987 (for short “LSA Act”) has been filed by petitioner stating he has taken a loan of Rs.6.50 lacs and deposited the original title deed of a plot. Loan amount was repayable in monthly instalments. Petitioner was made to sign on some forms and blank papers, but the terms and conditions of the loan agreement were never supplied to him. Petitioner claims to have deposited more than double the loan amount, but a huge amount is still shown to be outstanding. Upon notice, respondents No.2 and 3 appeared and filed a written statement contesting the petition. They filed an application dated 25.02.2021, Annexure P-2, for dismissal of the petition in view of arbitration clause. After contest, application has been allowed by Lok Adalat vide order im
The central legal point established in the judgment is that the principles of natural justice, objectivity, fair play, equity, and other principles of justice as outlined in Section 22D of the Legal ....
Lok Adalat cannot perform any adjudicatory function in terms of Section 20 of LSA Act – Permanent Lok Adalat would proceed to adjudication of a dispute on its merits only after attempting and failing....
Permanent Lok Adalat jurisdiction limited to pre-litigation public utility service disputes; mandatory conciliation required before merits adjudication, irrespective of party non-appearance.
The court established that the definition of public utility service does not encompass contractual transport services provided to the State, thus not qualifying for adjudication under the Act of 1987....
The court established that a valid reference to Lok Adalat is mandatory for its jurisdiction, and failure to comply with this requirement invalidates any award made.
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