A bench of justices Gita Mittal and P S Teji asked the counsels for Yadav and businessman M G Agarwal to go to the mediation centre of the Delhi High Court and try to settle their dispute before mediator Sudhanshu Batra.
The bench also accepted two affidavits for apology filed by Agarwal and his personal assistant Rajeev Sharma for getting the actor arrested on the pretext of discharging an arrest warrant which was already cancelled.
On March 24, the court had pulled up Agarwal and Sharma for their "appalling conduct" of getting the actor arrested on March 19 from outside the court premises and warned them of paying damages to Yadav.
It had said the conduct of Agarwal, who had loaned Rs five crore to Yadav, and Sharma was "tantamount to contempt of court" as the arrest of the actor from outside the High Court premises was "wrongful confinement".
He had claimed the warrant, which was issued for not appearing before the court, was later cancelled by the same trial judge on his plea, but his pleas to this effect fell on deaf ears as the other side was bent on getting him arrested.
He was arrested and then released barely half a kilometre from the Karkardooma Court complex in east Delhi where the cheque bounce case is going on, after the cops confirmed the warrant had been cancelled, Yadav had said.