THIS STATEMENT IS TRUE.
REASONS: Lok Adalat : It is one of the ways to resolve consumer problems. It can also be referred as Peoples Court. It is established by the government to settle disputes by compromise. It is held by State authority, District authority, Supreme Court Legal Service Committee, High Court Legal Service Committee Taluka Legal Service. It accepts cases pending in regular courts and can be settled by compromise. However both the parties should agree to transfer the case to Lok Adalat from the regular court or if on the application of one party the court sees any chance of compromise. No court fees are charged. If a matter cannot be resolved by compromise it is returned to the regular court. Resolution of disputes by Lok Adalat gets statutory recognition. Some organisations hold Lok Adalats regularly e.g. Railways, Electricity Boards, Telephone Exchanges, Insurance Companies in public sector.
