Appeal disposed in terms of mediated settlement, which forms part of the decree.

The appellant filed an appeal under Section 96 of the Code of Civil Procedure, 1908, challenging the judgment and decree dated 29 March 2023 in O.S. No. 320 of 2019 passed by the II Additional District Court, Tiruchengode.

During the pendency of the appeal, the High Court referred the matter to the Mediation and Conciliation Centre, High Court of Madras, on 28 July 2026.

The parties appeared before the Mediation Centre and entered into a compromise and settlement agreement dated 15 September 2026.

The settlement agreement was placed before the High Court for disposal of the appeal.

Whether the appeal could be disposed of in terms of the compromise and settlement agreement entered into between the parties before the Mediation and Conciliation Centre, High Court of Madras.

Whether the settlement agreement should form part of the decree and whether the appellant was entitled to refund of the court fee in accordance with the applicable rules.

The Court applied Section 96 of the Code of Civil Procedure, 1908, under which the appeal had been instituted.

It further applied the principle that a settlement voluntarily arrived at by the parties before a court-recognised mediation centre may be accepted by the Court and incorporated into the decree.

Upon disposal of the appeal in terms of such settlement, the settlement agreement forms part of the decree.

The Court also directed refund of court fee to the appellant in accordance with the applicable rules.

The parties had participated in mediation pursuant to the High Court’s referral and had entered into a written settlement agreement dated 15 September 2026.

Since both sides presented the settlement before the Court and sought disposal of the appeal in its terms, the Court accepted the mediated compromise rather than adjudicating the underlying dispute on merits.

It directed that the settlement agreement be incorporated into and form part of the decree, thereby giving the compromise operative legal effect.

Consistent with the settlement-based disposal, the Court also granted the appellant refund of court fee as per the applicable rules and closed the connected applications.

The settlement agreement was ordered to form part of the decree.

The appellant was held entitled to refund of court fee in accordance with the rules, and the connected applications were closed.