In Brief
A family dispute arose concerning partition of properties between the Krishnappa family members. A compromise was reached, parties accepted monetary settlement, and the Lok Adalat recorded it as a binding decree on 7 July 2012. Two days later, some plaintiffs claimed fraud. The High Court set aside this decree without providing clear reasons. The Supreme Court held that compromise decrees, being enforceable civil court decrees under the Legal Services Act, can only be set aside on conclusive proof of fraud. Since the plaintiffs had accepted the settlement consideration and provided no credible fraud evidence, the Court restored the Lok Adalat's decree, emphasizing that judicial orders must provide reasoned decisions and compromise agreements deserve protection as expressions of settled disputes.
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