Tribunals Reforms Act, 2026 gets President's assent

The Bill was passed by the Lok Sabha on August 10 and by the Rajya Sabha on August 11.
Tribunals
Tribunals
Published on
3 min read

President of India Droupadi Murmu on August 13 gave her assent to the Tribunals Reforms Bill, 2026, which seeks to overhaul the administration and functioning of tribunals across the country and create a new National Tribunals Commission (NTC).

The Bill was passed by the Lok Sabha on August 10 without discussion amid Opposition protests. The Rajya Sabha passed it a day later.

The Act seeks to make the tribunal system more independent, transparent and uniform. It also repeals the Tribunals Reforms Act, 2021, several provisions of which were struck down by the Supreme Court for giving excessive control to the executive over tribunals.

The new law follows a series of Supreme Court judgments, including the Madras Bar Association v. Union of India cases, concerning the independence and functioning of tribunals.

Key provisions of the Tribunals Reforms Act, 2026:

National Tribunals Commission

The Act establishes aims to establish a National Tribunals Commission (NTC) to oversee 16 tribunals, including the Central Administrative Tribunal, the National Green Tribunal, the National Company Law Appellate Tribunal, the National Consumer Disputes Redressal Commission, the Armed Forces Tribunal and the Income Tax Appellate Tribunal, among others.

The Commission will consist of a chairperson, two judicial members and two technical members.

Under the Act, the chairperson must have been a Supreme Court judge or a Chief Justice of a High Court. Judicial members must have been chief justices or judges of High Courts. Technical members must have at least 25 years of experience in fields including public administration, finance, law, accountancy, banking, management or technology.

The Central government will appoint the chairperson and members of the Commission. However, it must consult the Chief Justice of India before appointing the chairperson and judicial members.

The chairperson and members are to hold office for five years or until they turn 70, whichever is earlier.

What will the Commission do?

The NTC will take over several functions relating to the administration of tribunals.

It will:

  • conduct the selection process for chairpersons and members of tribunals;

  • review the performance of tribunals and prepare annual reports;

  • oversee inquiries into complaints against tribunal chairpersons and members;

  • develop and maintain a National Tribunals Data Grid, containing case-related information concerning the tribunals covered by the Act.

Judicially-led selection committees

The Act provides for search-cum-selection committees to appoint tribunal chairpersons and members. The committees will be headed by the NTC chairperson or a judicial member, as the case may be, and will include a Technical Member, a retired High Court judge, a government secretary and two experts.

The committee chairperson will have a casting vote. The committee will recommend one candidate for each vacancy, along with one name for the waiting list.

The recommendation must be sent to the Central government within three days, after which the government must make the appointment within three months.

Removal of tribunal members

The Act lays down a common procedure for removing tribunal chairpersons and members.

They can be removed for reasons including conflict of interest, abuse of position, incompetence, inefficiency and taking up paid assignments during their tenure.

Complaints on these grounds are to be examined through an inquiry overseen by the National Tribunals Commission before the Centre takes further action.

What happens to the Tribunals Reforms Act, 2021?

The 2026 Act repeals the Tribunals Reforms Act, 2021, while protecting certain existing appointments and ongoing selection processes.

It also provides that existing tribunal members appointed under the 2021 law will, subject to the transitional provisions, continue to serve until the completion of their prescribed term.

[Read Tribunals Reforms Act, 2026]

Attachment
PDF
Tribunal Reforms Act, 2026
Preview
Bar and Bench - Indian Legal news
www.barandbench.com