In a move aimed at reducing the growing burden of banking litigation and accelerating the recovery of financial claims, the Law and Justice Commission of Pakistan (LJCP), chaired by the Hon’ble Chief Justice of Pakistan, has approved the proposed insertion of Section 10A into the Financial Institutions (Recovery of Finances) Ordinance, 2001, introducing a formal Alternative Dispute Resolution (ADR) framework for banking disputes. The proposed amendment seeks to provide banks, financial institutions, and borrowers with an alternative avenue for resolving disputes outside prolonged court proceedings. Under the proposed Section 10A, specialized ADR Committees comprising individuals with expertise in law, banking, and commerce would facilitate negotiated settlements between parties. The initiative is intended to encourage amicable dispute resolution, reduce litigation costs,