NEW STANDARD ENGINEERING CO. LTD. vs N. L. ABHYANKAR AND ORS.

The Supreme Court held that a settlement of labor disputes, as defined under Section 2(p) of the Industrial Disputes Act, 1947, can be valid even if not reached during conciliation proceedings, provided it is a written agreement signed by the parties. The Court found that the settlement in question was binding under Section 18(1) of the Act, despite claims of unfairness, as a significant majority of workmen had accepted it. The appeal was allowed, affirming the validity of the settlement and emphasizing the importance of direct negotiation in ensuring industrial peace.