Mediation and ADR in Nepal 2026 — Full Overview
"Alternative Dispute Resolution (ADR) in Nepal covers three statutory methods — mediation under the Mediation Act 2068 (2011), arbitration under the Arbitration Act 2055 (1999, fast-track amended March 2025 with Section 13A), and negotiation. Court-annexed mediation under Muluki Civil Procedure Code 2074 Sections 193-195 settles 60-75% of property and family matters. Community mediation through Local Government Judicial Committees (Local Government Operation Act 2074, 3-month completion, 90-day DC appeal) reports 80-90% settlement rates. Labour mediation under Labour Act 2074 Sec 118 runs a 30-day window. ADR is faster, cheaper, and confidential vs litigation."