Question 1 · 379 words written
Opening · a definition
None written.
Body · points and prose
Q1
Alternate Dispute Redressal (ADR) refers to the settlement of judicial disputes outside a traditional court. It is provided for in Section 89 of the Civil Procedure Code and also the Legal Services Act, 1987.
Streamlined and efficient Approach
- Provides quicker way of dispute resolution
- Lowers the cost of dispute resolution as no lawyer fee, court fee etc. has to be paid
- Prevents any further burden on judiciary (already has 4.4 crore pending cases as per NJDG)
- Prevents any ill will between parties as mediation based approach is used - "Win win" outcomes. (5) Makes justice more accessible to peoples -> removes stigma of courts and police. (6) Online mode of ADR can significantly help e commerce (e.g. Sama -> online Dispute Resolution Platform for Snapdeal.
However challenges exist -> lack of awareness and trust on ADR
Digital divide and illiteracy (e.g. only 37% in rural areas) Often leads to court cases when parties not satisfied
Way Forward -> ↑ awareness through legal awareness camps. -> Promoting mandatory mediation in few cases.
"It is the spirit and not the form of justice which keeps it alive" ADR upholds the spirit of justice.
Q2
The State Finance Commissions have been constituted under the mandatory provisions of the 73rd and 74th amendment acts under Article 243.
Role in ensuring fiscal autonomy
(1) Recommend the distribution of taxes from the States to the Local bodies like Panchayats and Municipalities (Vertical distribution).
(2) Recommend horizontal distribution of taxes among various local bodies.
(3) Recommend the amount of grants to be made to the local bodies.
(4) Seek to increase the share of revenue of local bodies to ensure smooth functioning (Their Own Revenue Source is only 5% (40% in Brazil)).
(5) Fiscal autonomy promoted by them can further help in true democratic decentralisation.
However, some issues exist :—
(1) State finance Commissions are not permanent -> need to be reconstituted every 5 years. (2) Often not reconstituted on time. (3) Positions in several state finance Commissions lying vacant (4) Recommendatory nature of provisions -> often not followed.
Way Forward -> Making State Finance Commissions permanent bodies -> Binding recommendations on States
Close · a way forward
These steps will lead to true empowerment of local bodies and realise Article 40