Section 62: Commencement of conciliation proceedings

Arbitration and Conciliation Act, 1996 • Official Statutory Text & Practice Guide

Statutory Regulation
Legal Standard
Competent Court / Tribunal
Act 1996
Statutory Defined Terms in this Section: (Click any term for official legal definition)

Legal Commentary & Landmark Judgments: Section 62

Section 62 of the Arbitration and Conciliation Act, 1996 governs the commencement of conciliation proceedings, prescribing that proceedings commence when the other party accepts the written invitation to conciliate, and terminate if rejected.

  • Written Invitation to Conciliate: The party initiating conciliation shall send to the other party a written invitation to conciliate under this Part, briefly identifying the subject of the dispute.
  • Commencement upon Acceptance: Section 62(2): Conciliation proceedings shall commence when the other party accepts in writing the invitation to conciliate.
  • Rejection of Invitation: Section 62(3): If the other party rejects the invitation, there will be no conciliation proceedings.
  • Deemed Rejection after Thirty Days: Section 62(4): If no reply is received within thirty days (or time specified), the initiating party may elect to treat it as a rejection and inform the other party.
Key Landmark Precedents:
  • Mysore Cements Ltd. v. Svedala Barmac Ltd., (2003) 10 SCC 375: The Supreme Court held that a written acceptance under Section 62 is the jurisdictional foundation of conciliation under Part III; without written acceptance, no statutory conciliation exists.
  • Haresh Dayaram Thakur v. State of Maharashtra, (2000) 6 SCC 179: Reaffirmed the voluntary and consensual nature of statutory conciliation proceedings.
Courtroom Practice & Strategic Litigation Guidance:

When initiating conciliation, issue a formal 'Invitation to Conciliate under Section 62' setting a 30-day acceptance window; if the other party fails to reply in writing within 30 days, issue a termination memo and proceed to Section 21 arbitration.