The petition was accompanied by an application under subsection 3 of section 34 of the act, for condonation of delay of 28 days in filing the petition. National highways authority of india nhai, civil appeal no. Changes and effects are recorded by our editorial team in lists which can be. Aug, 2018 this is a landmark case about the application of section 37 of the arbitration and conciliation act of 1996 herein referred to as the statute. An evaluation of section 34 of the arbitration and conciliation act. This section deals with the procedure for the application and also the grounds for setting aside the arbitral award. Judgments on section 34 of arbitration and counciliation act, 1996. Recent judgments in relation to section 34 of the arbitration and. Sections 345 and 6 of the arbitration and conciliation. Arbitration and conciliation act, 1996 bare acts law.
Section 34 3 in the arbitration and conciliation act, 1996 3 an application for setting aside may not be made after three months have elapsed from the date on which the party making that application had received the arbitral award or, if a request had been made under section 33, from the date on which that request had. Prior notice requirement section 345 of arbitration and. In this article, mishika bajpai discusses the prior notice requirement under section 34 5 of the arbitration and conciliation act, 1996. An ambiguity of legal interpretation is a topic of sincere concern and relevance in the field of legal interpretation of the grounds for. Key words arbitration, setting aside arbitral award, section 34 of arbitration and concilaition act,1996, public policy, patently illegal. Prior notice requirement section 345 of arbitration. Arbitration and conciliation act, 1996 section 34 application for setting aside arbitral award learned arbitrator and the courts below have recorded the concurrent findings that the appellant contractor has failed in carrying out the work as per the terms and conditions of the contract and the learned arbitrator has rightly allowed the detention and forfeiture of the. The said clauses have been added to the act of 1996 by amending act 3 of 2016 w. The changes were suggested by the 246th report of the law commission of india on amendments to the arbitration and conciliation act, 1996 of august 2014 and the supplementary to the 246th report of the law commission of india on amendments to the. The arbitration contract is not valid under the law to which parties have been subjected to. Arbitration and conciliation act, 1996, updated 2019. The learned judge did not find a reason to interfere with the award as the view of the majority was drawn on a plausible. The scope of enquiry in any proceedings under section 34 of the act has been restricted to consider whether any of the grounds mentioned in section 342 or section 5 or section 166 are made out to set aside the award, the grounds for which.
Nov, 2017 scope under section 9 of of the arbitration and conciliation act, 1996. Time limitation under section 34 singhania and partners. Scope under section 9 of of the arbitration and conciliation act, 1996. Arbitration and conciliation act section 34 application to challenge award duration. Apr 02, 20 judgment of the court in a petition under section 34. The arbitration and conciliation act, 1996 26 of 1996 as amended by the arbitration and conciliation amendment act, 2015 3 of 2016 the international centre for alternative dispute resolution plot no. A bench of 2 judges including justices rohinton fali nariman and indu malhotra, gave a judgment that deals with the nature of sections 34 5 and 6 of the arbitration and conciliation act, 1996.
Limitation of time under section 34 of the arbitration and. However, the challenge to the award can only be made within limitation period of three months from the date of receipt of the award. Scope under section 9 of of the arbitration and conciliation. Section 342 in the arbitration and conciliation act, 1996.
It clarified the position of law that an appeal could be allowed only against the setting aside of an arbitral award or refusal to set it aside under section 371c. Pdf setting aside of arbitral awards under section34 of. The court in the case also observed that court could not substitute its view over that of the arbitrators. Section 34 3 in the arbitration and conciliation act, 1996 3 an application for setting aside may not be made after three months have. Oct 31, 2018 the said clauses have been added to the act of 1996 by amending act 3 of 2016 w. Adducing evidence under section 34 of the arbitration act.
The aforementioned judgment stands as a landmark precedent for every lawyer and court to follow when an issue arises as to whether the amended sections 345 and 6 of the arbitration and conciliation act, 1996, are to be treated as mandatory or directory in nature. The same have been briefly discussed in the present article. Apr 03, 2020 any delay beyond 120 days in the filing of an appeal under section 37 from an application being either dismissed or allowed under section 34 of the arbitration and conciliation act, 1996 should. Mar 09, 2020 the paper will then go on to address in brief cases in which the arbitration and conciliation act, 1996 is given precedence over other statutes such as the insolvency and bankruptcy code, 2016 and viceversa. Applicability of arbitration amendment act, 2015 to. The paper will then go on to address in brief cases in which the arbitration and conciliation act, 1996 is given precedence over other statutes such as the insolvency and bankruptcy code, 2016 and viceversa. The petitioner challenged the subject arbitration award passed by a sole arbitrator under section 34 of the arbitration and conciliation act, 1996 on the ground, inter alia, that he did not receive a notice of arbitrators. Provided that parts i, iii and iv shall extend to the state of jammu and kashmir only in so far as they relate to international commercial arbitration or, as the case may be, international.
Analysis of public policy with respect to the indian. Limited scope of judicial intervention under arbitration act. Dave of the supreme court of india sc while exercising civil appellate jurisdiction and deciding the application and scope of section 34 of the arbitration and conciliation act, 1996 the act have upheld the judgment of the honble bombay high court and have held as under. In this article, mishika bajpai discusses the prior notice requirement under section 345 of the arbitration and conciliation act, 1996. Section 34 of the arbitration and conciliation act, 1996 gives the court or the judiciary the power to intervene in the arbitration process for the purpose of setting aside the award rendered by the arbitration tribunal. Section 34 of the arbitration and conciliation act archives. Section 34 of the arbitration and conciliation act, 1996 hereinafter referred to as the 1996 act stipulates grounds to challenge the arbitral. At the current time any known changes or effects made by.
Arbitration act 1996 is up to date with all changes known to be in force on or before february 2020. Limitation under section 343 of arbitration and conciliation act 1996 will prevail over section 17 of the limitation act 1963. Applicability of arbitration amendment act, 2015 to section. Analysis of section 34 of the arbitration and conciliation. Section 343 in the arbitration and conciliation act, 1996. These clauses were added to the act of 1996 by amending act 3 of 2016 w. Recently, a number of judgments have been passed while interpreting section 34. Recourse to a court against an arbitral award may be made only by an application for setting aside such award in accordance with subsection 2 and subsection 3. Nov 30, 2017 in this case, the appellant had challenged the order of single judge, wherein the single judge had dismissed the appellants petition under section 34 of the arbitration and conciliation act, 1996 for setting aside the arbitral award. Aug 07, 2019 upon reaching arbitration, the appellant moved to the delhi high court under section 34 of the arbitration and conciliation act, 1996 hereinafter act to set aside the award on the ground of patent illegality. To hold that a petition under section 9 would be maintainable after the passing of an arbitral award at the behest of dipl whose claim has been rejected would result in a perversion of the object and purpose underlying section 9 of the arbitration and conciliation act, 1996. Application of law of limitation in computing time period under. Justice s abdul nazeer in the case of p radha bai vs p ashok kumar civil appeal no 771077 of 20, has reiterated the strict interpretation of limitation prescribed under section 343 of the arbitration and conciliation act 1996 arbitration act.
Section 34 in the arbitration and conciliation act, 1996. Application under section 34 of the arbitration and. Section 34 of the arbitration and conciliation act, 1996. A bench of 2 judges including justices rohinton fali nariman and indu malhotra, gave a judgment that deals with the nature of sections 345 and 6 of the arbitration and conciliation act, 1996. The most recent debate that reverberated in the halls of the apex court was on the issue whether section 345 of the arbitration and conciliation act, 1996, inserted by amending act 3 of 2016 w. Section 34 of arbitration and conciliation act 1996 archives. Section 34 of the arbitration and conciliation act, 1996 act provides for setting aside of an arbitral award by making an application to the court, on the grounds stated therein. An act to consolidate and amend the law relating to domestic arbitration, international commercial arbitration and enforcement of foreign arbitral awards as also to define the law relating to conciliation and for matters connected therewith or. Recent judgments in relation to section 34 of the arbitration. In accordance with section 34 of the arbitration and conciliation act, 1996 that states that the court can set aside the arbitral award if. Section 34 of arbitration and conciliation act 1996.
The most recent debate that reverberated in the halls of the apex court was on the issue whether section 34 5 of the arbitration and conciliation act, 1996, inserted by amending act 3 of 2016 w. A petition under section 34 of the arbitration and conciliation act, 1996 act for short was filed by the appellant on 11. There are currently no known outstanding effects for the arbitration act 1996, section 34. Oct 17, 2018 a division bench of the honble supreme court of india the court, consisting of mr. The aforementioned judgment stands as a landmark precedent for every lawyer and court to follow when an issue arises as to whether the amended sections 34 5 and 6 of the arbitration and conciliation act, 1996, are to be treated as mandatory or directory in nature. An evaluation of section 34 of the arbitration and. A division bench of the honble supreme court of india the court, consisting of mr. Section 34 of the arbitration and conciliation act, 1996 act provides for setting aside of an arbitral award by making an application to the. An application to challenge arbitral award is made under section 34 of the indian arbitration and conciliation act, 1996 the arbitration act. Pursuant to the reservation, the legal question of the interpretation of clause 2 of section 2 of the arbitration and conciliation act, 1996 hereinafter called the act was placed before the constitution bench culminating in the landmark judgment of balco, 20124 which overruled bhatia international with a prospective effect.
In this case, the appellant had challenged the order of single judge, wherein the single judge had dismissed the appellants petition under section 34 of the arbitration and conciliation act, 1996 for setting aside the arbitral award. Judgments on section 34 of arbitration and conciliation. A bench comprising of justice shiva kirti singh and justice anil r. It has been well established that proceedings under section 34 of the arbitration and conciliation act, 1996 the act are summary in nature. Prior notice requirement under section 345 of the amended. Revised legislation carried on this site may not be fully up to date. Even though section 9 of the arbitration and conciliation act, 1996. Section 343 in the arbitration and conciliation act, 1996 3 an application for setting aside may not be made after three months have elapsed from the date on which the party making that application had received the arbitral award or, if a request had been made under section 33, from the date on which that request had. Upon reaching arbitration, the appellant moved to the delhi high court under section 34 of the arbitration and conciliation act, 1996 hereinafter act to set aside the award on the ground of patent illegality. Limitation under section 34 3 of arbitration and conciliation.
Scope of section 34 of the arbitration and conciliation. Tanya varshney is a fourthyear student at jindal global law school. The arbitration and conciliation amendment act, 2015 made major changes to section 34. There are changes that may be brought into force at a future date. This is one of the chapter of jurisprudence interpretation and general laws of cs. Section 34 of the arbitration and conciliation act archives scc blog.
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