The Constitution of Pakistan, 1973, lays the groundwork for ADR within the country’s legal framework. Articles 153-155 provide provisions to promote dispute resolution outside traditional court proceedings, particularly in disputes involving intergovernmental or federal matters.

Code of Criminal Procedure (CrPC), 1898 ADR mechanisms in criminal matters find their roots in the Code of Criminal Procedure, 1898. The law includes provisions to facilitate settlements and compromises, enabling parties to resolve certain types of disputes through mediation or conciliation rather than formal litigation. This early inclusion highlights the long-standing value placed on alternative dispute resolution in Pakistan.

The amendment to the Civil Procedure Code in 2002 introduced Section 89-A, empowering courts to encourage ADR methods such as mediation and conciliation. This reform enables courts to refer civil disputes for alternative resolution with the consent of the parties, fostering a more collaborative and less adversarial approach to justice.

The Arbitration Act of 1940 provides a comprehensive legal framework for arbitration proceedings in Pakistan. It allows parties to resolve disputes outside the formal court system through binding arbitration, offering a faster, cost-effective alternative to traditional litigation. This Act remains a cornerstone of ADR practices in the country.

ADR provisions have also been incorporated into finance-related laws to streamline the resolution of tax and revenue disputes. Notable examples include Section 134A of the Income Tax Ordinance, 2001; Section 47A of the Sales Tax Act, 1990; and Section 38 of the Federal Excise Act, 2005. These provisions facilitate quicker dispute resolution in financial matters, reducing the burden on courts.

Various other laws also promote ADR practices in specific contexts. The Probation of Offenders Ordinance, 1960, encourages non-custodial sentences through reconciliatory methods. Similarly, the Family Courts Act, 1964, emphasizes mediation in family disputes, while the Customs Act, 1969, includes ADR provisions for resolving disputes related to customs duties and trade.

The ADR Act of 2017 represents a significant milestone in Pakistan's legal landscape. It institutionalized ADR practices, allowing courts to refer specific civil disputes for mediation, arbitration, or conciliation unless deemed inappropriate or refused by the parties. The Act also empowers the Law and Justice Division to accredit mediators and ADR centers, while allowing neutrals to facilitate compoundable criminal offenses under the Pakistan Penal Code, 1860.