The Act lays down an elaborate mechanism for settlement of disputes
between system participants in a payment system, between system
participant and system provider and between system providers. The Act
requires the system provider to make provision in its rules or
regulations for creation of a panel to decide disputes between system
participants. Where any system participant is dissatisfied with the
decision of the panel, or where disputes arises between system
participant and system provider or between system providers, such
disputes are required to be referred to the Reserve Bank for
adjudication, whose decision shall be final and binding on the parties.
In cases where the Reserve Bank, in its capacity either as a system
participant or system provider, is itself a party to the dispute, then
there is a provision for referring such cases to the Central Government
for adjudication. (Section 24 of Act).