The legal landscape in India’s capital has just taken a monumental step toward becoming more litigant-friendly. As of January 2026, the Delhi Legislative Assembly has passed a landmark amendment to the Court Fees Act, 1870. This change is set to revolutionize how disputes are settled, making it more affordable than ever to resolve conflicts amicably.
If you are currently embroiled in a legal battle or planning to file a suit, understanding these changes is crucial. At Century Law Firm, a premier law firm in Delhi, we are committed to helping our clients navigate these new regulations to save time, stress, and significant financial resources.
What has Changed? The 2026 Amendment Explained
Previously, litigants in Delhi faced a financial dilemma. While a 100% refund of court fees was available if a case was settled through court-referred Alternative Dispute Resolution (ADR) like mediation or Lok Adalat, those who chose to settle privately “out-of-court” were only eligible for a 50% refund.
The Court Fees (Delhi Amendment) Bill, 2026 has officially removed this “discriminatory” distinction. Now, whether you settle through a formal court process or via a private mutual agreement, you are entitled to a full 100% refund of the court fees paid.
Why This Matters for You
Court fees in Delhi can be substantial, often calculated as a percentage of the claim value. For a recovery suit of ₹50 Lakhs, the court fee can run into tens of thousands of rupees. Under the new law:
- Reduced Financial Burden: You no longer lose half your fee for choosing a private settlement.
- Encouragement for Amicable Deals: Parties are now incentivized to talk and settle early without the fear of losing their deposited fees.
- Faster Resolution: With the financial barrier removed, more people are opting for settlements, reducing the years-long wait for a trial.
How a Top Law Firm in Delhi Can Help
While the law has made refunds easier, the procedural requirements to claim these refunds and draft airtight settlement deeds remain complex. Choosing the right law firm in Delhi is the first step toward a successful resolution.
At Century Law Firm, we specialize in:
- Strategic Settlement Negotiations: Helping you reach a fair deal without the need for prolonged litigation.
- Legal Documentation: Drafting settlement agreements that are legally binding and protect your interests.
- Fee Refund Processing: Ensuring that all applications for court fee refunds are filed correctly under the new 2026 guidelines to avoid technical rejections.
Navigating the New Era of Justice
The move toward “Nyaya” (Justice) over “Danda” (Punishment) is also reflected in the broader transition to the Bharatiya Nyaya Sanhita (BNS) and other new criminal laws. As the legal system modernizes, having a tech-savvy and experienced legal partner is non-negotiable.
Whether you are dealing with a civil recovery, a property dispute, or corporate litigation, the experts at our law firm in Delhi provide the strategic edge you need. We combine traditional courtroom excellence with modern dispute-resolution techniques to deliver results that matter.
Final Thoughts
The 2026 Court Fee Amendment is a win for the “Aam Aadmi” and businesses alike. It simplifies the path to justice and keeps more money in the pockets of the litigants.
Are you looking to settle a pending case or need advice on how these new laws affect your ongoing litigation? Contact Century Law Firm, the leading law firm in Delhi, today for a comprehensive consultation. Let us help you resolve your legal challenges efficiently and affordably.