Lok adalat is completely a voluntary process. If you do not wish to attend it, there is no complusion. You can proceed with the existing case from the stage where you had left off. You can also get the matter referred to mediation with the consent of the other side.
Lok adalath is formed for providing speedy justice to the public who have cases before court. You have to attend with your advocate and respect the court first no letter of your will be entertained. In the absence of any party or his advocate may leads to ex parte order. If settlement fails between the parties at lok adalath then it will be referred back to the court for adjudication.
It is always best to appear and file your reply rather than letting the Lok Adalat proceeding in your absence. It is best to represent your cause and take a clear stand rather than suffer later. The bank gets a chance to milead and misrepresent the details in your absence.
There are many benefits which litigants derive from the Lok Adalats.
First, there is no court fee and even if the case has already been brought before the regular court, the fee paid will be reimbursed if the dispute is settled at the Adalat Lok.
The procedural laws and the Evidence Act are not strictly applied whilst the Lok Adalat assesses the merits of the claim. Though represented by their lawyer, the parties to the disputes can engage directly with the judge of Lok Adalat and clarify their role in the dispute and hence the reasons which are not possible in a normal court of law.
The Lok Adalat ‘s decision is binding on the parties to the dispute, and its order can be executed by legal process.
Reference: Legal Services Authorities Act, 1987