On 29-1-2026, Arjun Ram Meghwal, Minister of Law and Justice, updated the Parliament on the progress of Pre-Institution Mediation and Settlement (‘PIMS’) under the Commercial Courts Act, 2015.
Key highlights by the Law Minister, include:
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He informed the Rajya Sabha that the 2018 amendment to the Commercial Courts Act, 2015 made PIMS mandatory for commercial disputes of specified value, provided no urgent interim relief is required.
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This mechanism aims to give parties a time-bound opportunity to resolve disputes amicably before approaching the courts.
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After the introduction of Section 12A, the number of applications received for mediation has grown significantly, reflecting increasing reliance on alternative dispute resolution mechanisms.
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The following is a summary of PIMS performance from July 2018 to September 2025:
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2018—19 (Jul—Mar): 3,680 applications; 1,660 non-starters; 25 settlements
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2019—20: 18,080 applications; 14,470 non-starters; 167 settlements
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2020—21: 18,364 applications; 14,014 non-starters; 186 settlements
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2021—22: 32,335 applications; 28,441 non-starters; 368 settlements
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2022—23: 46,412 applications; 41,898 non-starters; 1,449 settlements
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2023—24: 51,019 applications; 47,185 non-starters; 1,139 settlements
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2024—25: 59,568 applications; 52,730 non-starters; 877 settlements
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2025—26: 47,218 applications; 30,353 non-starters; 643 settlements (up to Sep 2025).
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The House was also informed that until November 2025, the National Legal Services Authority (‘NALSA’) has a nationwide network of 22,398 trained mediators.
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Under the Mediation Act, 2023, mediation institutes are further responsible for training, certification, and continuous development of mediators.
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He emphasized that According to Rule 3 of the Commercial Courts (PIMS) Rules, 2018:
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3 months to complete mediation
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Extendable by 2 more months with consent of both parties
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This ensures time-bound disposal of pre-litigation mediation.
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