Chapter V - Mediation
Section 81
Section 81: Recording settlement and passing of order
Section 81 tells the Commission what to do with a mediator’s report: record a settlement, continue unsettled issues, or resume hearing the whole dispute.
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This article is for general information. Refer to the Consumer Protection Act, 2019 official text for the official provisions. If you need professional advice for your situation, contact Bizeneed.
Statutory text
Bare law
(1) The District Commission or the State Commission or the National Commission, as the case may be, shall, within seven days of the receipt of the settlement report, pass suitable order recording such settlement of consumer dispute and dispose of the matter accordingly.
(2) Where the consumer dispute is settled only in part, the District Commission or the State Commission or the National Commission, as the case may be, shall record settlement of the issues which have been so settled and continue to hear other issues involved in such consumer dispute.
(3) Where the consumer dispute could not be settled by mediation, the District Commission or the State Commission or the National Commission, as the case may be, shall continue to hear all the issues involved in such consumer dispute.
Introduction
After a report arrives, check the Commission’s order against the signed agreement and track the seven-day statutory period for a suitable order recording a settlement.
Key takeaways
What the section does
Section 81 tells the Commission what to do with a mediator’s report: record a settlement, continue unsettled issues, or resume hearing the whole dispute.
Operational response
After a report arrives, check the Commission’s order against the signed agreement and track the seven-day statutory period for a suitable order recording a settlement.
Important boundary
A partial settlement closes only the agreed issues; unresolved issues continue before the Commission. If mediation fails, all issues remain for hearing.
When the provision matters
Section 81 tells the Commission what to do with a mediator’s report: record a settlement, continue unsettled issues, or resume hearing the whole dispute.
A partial settlement closes only the agreed issues; unresolved issues continue before the Commission. If mediation fails, all issues remain for hearing.
Practical response
After a report arrives, check the Commission’s order against the signed agreement and track the seven-day statutory period for a suitable order recording a settlement.
Decision points and records
Compare the signed agreement and Commission order issue by issue, then calendar remaining hearings.
Do not treat the seven-day recording duty as ending issues the parties did not settle.
Example
A customer and provider settle replacement but not damages. The Commission records the replacement settlement and continues hearing the damages issue.
Official sources
Practical checklist
Do
- Compare the proposed order with the precise signed settlement terms.
- Compare the signed agreement and Commission order issue by issue, then calendar remaining hearings.
Avoid
- Do not assume an unsuccessful mediation ends the consumer complaint.
- Do not treat the seven-day recording duty as ending issues the parties did not settle.
Illustrative example
Section 81 in practice
A customer and provider settle replacement but not damages. The Commission records the replacement settlement and continues hearing the damages issue.
Identify the statutory trigger
Section 81 tells the Commission what to do with a mediator’s report: record a settlement, continue unsettled issues, or resume hearing the whole dispute.
Preserve the key record
Compare the signed agreement and Commission order issue by issue, then calendar remaining hearings.
Apply the limit
A partial settlement closes only the agreed issues; unresolved issues continue before the Commission. If mediation fails, all issues remain for hearing.
Outcome
- After a report arrives, check the Commission’s order against the signed agreement and track the seven-day statutory period for a suitable order recording a settlement.
Glossary
- Consumer mediation cell
- The cell attached to a consumer Commission for the statutory mediation process.
- Partial settlement
- Agreement on some issues that the Commission records while it continues hearing the remaining issues.
Frequently asked questions
What happens if mediation fails?
The Commission continues to hear all issues involved in the consumer dispute.
How soon must a settlement be recorded?
The Commission must pass a suitable order within seven days after receiving the settlement report.
Need help applying this provision to your situation?
Contact BizeneedLast updated 10 October 2026