(1) When it appears to the Board that there exists a possibility of a settlement, the terms and conditions of which may be acceptable to the parties, the Board shall formulate the terms and conditions of the possible settlement and submit the same to the parties for their observations. After receiving the observations of the parties, if any, the Board may reformulate the terms and conditions of the possible settlement.
(2) If the parties reach agreement on a settlement of the dispute, they may draw up and sign a written settlement agreement. If requested by the parties, the Board may draw up or assist the parties in drawing up the settlement agreement.
(3) When the parties sign the settlement agreement, it shall be final and binding on the parties and persons claiming under them respectively.
(4) The Board shall authenticate the settlement agreement and furnish a copy thereof to each of the parties.
The Board and certain Enactments Central Act 26 of 1996 Central Act 5 of 1908 Central Act 1 of 1872.
Co-operation of the parties with the Board.
Suggestions by parties for settlement of dispute.
Settlement agreement.
[Act No.36 of 2001] 31
47. The settlement agreement shall have the same status and effect as if it is an arbitral award on agreed terms on the substance of the dispute rendered by an Arbitral Tribunal under section 30 of the Arbitration and Conciliation Act, 1996 or its amendment or re-enactment as the case may be.
48. The conciliation proceedings shall be terminated,-
(a) by the signing of the settlement agreement by the parties, on the date of the agreement; or
(b) by an order of the Board, after consultation with the parties, to the effect that further efforts at conciliation are no longer justified, on the date of the order; or
(c) by a written communication of the parties jointly addressed to the Board to the effect that the conciliation proceedings are terminated on the date of the communication; or
(d) on the expiry of the period of 3 months from the date of the commencement of the conciliation proceedings, if the parties to conciliation proceedings request in writing to continue conciliation, such conciliation proceedings shall stand terminated on the expiry of period of 90 days from the date of such joint communication in writing to the Board requesting the Board to continue conciliation.