The Tribunals Reform Act, 2021.

This act analysis is done by Nandhini, Vivekananda College of Law, Karnataka State Law University.

Introduction:

The Tribunals Reforms Act, 2021 was passed by the Parliament in August 2021. The Act replaced the Tribunals Reforms (Rationalization and Conditions of Service) Ordinance, 2021. A Tribunal serves as a quasi-judicial institution established to address various issues, including the resolution of administrative or tax-related disputes. Its functions encompass adjudicating disputes, determining rights among conflicting parties, rendering administrative decisions, and reviewing existing administrative determinations. The term ‘Tribunal’ originates from ‘Tribunes,’ denoting magistrates in the Classical Roman Republic. In this context, it refers to the office of the ‘Tribunes,’ Roman officials tasked with safeguarding citizens from arbitrary actions by aristocratic magistrates. Broadly, a Tribunal is any individual or entity endowed with the authority to judge, adjudicate, or settle claims or disputes, irrespective of whether it explicitly bears the title ‘tribunal’ in its nomenclature.

History of the bill:

The Tribunal Reform Bill 2021, introduced in the Lok Sabha by Finance Minister Nirmala Sitharaman on August 2, 2021, aimed at dissolving certain appellate bodies. The bill suggested transferring their functions to existing judicial bodies like civil courts or High Courts. This legislative move followed the similar Tribunals Reforms Ordinance, 2021, enacted in April 2021.

Object of the Act:

To address the challenges posed by the backlog of cases in various Courts and domestic tribunals, additional Tribunals have been established under different statutes, collectively referred to here as the Tribunals. These entities were created with the objective of alleviating the caseload of traditional courts, expediting the adjudication process, and offering a platform staffed by legal professionals and experts knowledgeable in the specific domains falling within the Tribunal’s jurisdiction.

Tribunals play a crucial and specialized role in the judicial system, alleviating the strain on already overloaded courts. They handle disputes spanning environmental concerns, matters related to the armed forces, taxation issues, and administrative disputes.

Important provisions:

The introduction of provisions for Tribunals occurred through the 42nd Constitutional Amendment Act, which incorporated two additional articles into the constitution.

Article 323A: This grants authority to the Parliament to establish administrative tribunals for the adjudication of disputes concerning the recruitment and conditions of service for individuals appointed to public service at the central, state, local bodies, public corporations, and other public authorities. In line with this, the Parliament enacted the Administrative Tribunals Act, 1985, providing the authority to establish Centre and State Administrative Tribunals (CAT & SATs).

Article 323B: This empowers both the Parliament and state legislatures to institute tribunals for resolving disputes related to matters such as taxation, foreign exchange, industry and labor, land reforms, parliamentary and state legislature elections, rent and tenancy rights, among others.

Tribunals play a pivotal and specialized role in the justice system, alleviating the burden on already overloaded courts. They handle disputes encompassing areas like the environment, armed forces, taxation, and administrative issues.

Article 262 of the Indian Constitution assigns a role to the Central government in resolving disputes related to inter-state rivers that may emerge among the state or regional governments.

Eight Tribunals Dissolved Via Bill
Act under which tribunal was setup	Abolished Tribunal	Where disputes are heard after abolition
The Cinematography act 1952	Film Certificate Appellate Tribunal	High Court
The Trade Marks Act, 1999	Intellectual Property Appellate Board	High Court
The Copy Right Act, 1957	Intellectual Property Appellate Board	Commercial Division of High Court
The Customs Act, 1962	Customs, Excise &Service Tax Appellate Tribunal	High Court
The Patents Act, 1970	Intellectual Property Appellate Board	High Court
The Airports Authority of India Act, 1944	Airports Appellate Tribunal	Central government (disposal of properties on airport premises left by unauthorized occupants)High Court (appeals against eviction orders)
The Control of National Highways (Land & Traffic) Act, 2002	The National Highways Tribunals	Civil Court
The Geographical Indications of Goods (Registration & Protection) Act, 1999	Intellectual Property Appellate Board	High Court

Need and Significance:

The establishment of Tribunals in India addresses the pressing issues arising from the backlog of cases in various courts and domestic tribunals. To cope with this situation, additional Tribunals were introduced under different statutes, collectively referred to as the Tribunals. The primary objectives behind their creation include:

1. Reducing Caseload: Tribunals were set up to alleviate the workload of traditional courts. By handling specific types of disputes, they aim to expedite the adjudication process and provide a specialized forum.
2. Expertise in Specific Domains: Tribunals are staffed by legal professionals and experts with knowledge in the specific domains falling under their jurisdiction. This ensures a nuanced and informed decision-making process.
3. Speedy Resolutions: The specialized nature of Tribunals allows for quicker resolutions compared to traditional courts. This is essential for matters that require prompt attention, such as environmental concerns, armed forces issues, taxation disputes, and administrative matters.
4. Relieving Overloaded Courts: Tribunals play a crucial role in the justice system by handling disputes in areas like the environment, armed forces, taxation, and administrative issues. This helps ease the burden on already overloaded traditional courts.
5. Constitutional Provisions: The incorporation of Articles 323A and 323B into the Indian Constitution through the 42nd Amendment Act, 1976, provides the legal basis for the establishment of administrative and other tribunals. These articles empower both the Parliament and state legislatures to create tribunals for various matters.
6. Centralized and Specialized Handling: Some Tribunals, like the Central Administrative Tribunal (CAT) and the Armed Forces Tribunal (AFT), are centralized bodies that focus on specific areas, ensuring a specialized approach to dispute resolution.

Critisims and Limitations: 

While the establishment of Tribunals has its merits, there are criticisms and limitations associated with their functioning:

1.Overlap and Redundancy: Merging of tribunals, as seen in the Finance Act of 2017, has been criticized for creating overlaps and redundancies. The need for a streamlined and efficient system is emphasized.

2. Executive Influence: The dependence of Administrative Tribunal members on the executive for tenure, terms, and conditions raises concerns about the independence of these bodies. This may impact their ability to act impartially.

3. Subjectivity in Decision-Making: Administrative Tribunals may consider departmental policies, leading to subjective decision-making rather than an objective assessment based on evidence and procedural rules.

4. Limited Power to Challenge Legislation: Unlike ordinary courts, Administrative Tribunals have limitations in challenging the vires of legislation. This restricts their role in examining the constitutional validity of laws.

5. Challenges in Speedy Disposal: Despite the intention of speedy resolution, some Tribunals may face challenges in meeting the target of disposing of cases within a stipulated time, impacting the overall effectiveness.

Conclusion:

In conclusion, the Tribunals Reforms Act, 2021, addresses the need for specialized and expedited dispute resolution mechanisms in India. While the establishment of Tribunals has been instrumental in handling specific categories of cases, there are valid concerns about their structure and functioning. Continuous evaluation and reforms are necessary to strike a balance between efficiency, independence, and the delivery of justice. The Act represents a significant step in this direction, aiming to enhance the efficacy of Tribunals and contribute to a more responsive and streamlined legal system.

References: 

1. Tribunal Reforms Act, No. 33 Acts of parliament (2021) India.
2. “Tribunal Reforms Act, 2021,” https://www.indiacode.nic.in/bitstream/123456789/16901/1/AA2021__33tri.pdf
3. “Tribunal Reforms Act, 2021,” Ministry of Law and Justice. The official gazette. https://prsindia.org/files/bills_acts/acts_parliament/2021/The%20Tribunals%20Reforms%20Act,%202021.pdf