Alternative Dispute Resolution (ADR) is a process for resolving disputes outside of the legal system. Because trade and commerce are growing at such a rapid rate at the moment, disagreements have become an unavoidable aspect of the scenario. Going with the traditional technique of dispute resolution might take a long time and be more expensive, so the ADR mechanism is used to save time and money. ADR is required at all levels in India since Indian courts are overcrowded with cases, leading in long delays in resolving conflicts and proving to be a more expensive option. Many statutes and legislations are made in this subject from time to time, but there is still a need to raise knowledge about this mechanism among people from all walks of life. Also, following COVID, there has been a noticeable shift in every field, including ADR, with a shift toward Online Dispute Resolution. This paper begins by introducing the notion of alternative dispute resolution (ADR) and then goes on to analyse its origins in the Indian legal system. Following that, the various methods of ADR (Arbitration, Mediation, Negotiation, Conciliation, and Lok Adalats) used in India are discussed. The paper also includes information on the ADR legislation in India. In addition, the paper discusses the advantages of ADR. The report also looks at the future of ADR in India's legal system. Finally, the report offers some suggestions for future research and ways to make the ADR mechanism more participatory, as well as a conclusion.