Dispute Resolution Arbitration

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    Dispute resolution-Arbitration

    By

    S.K.Rao

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    Construction contract-mutualobligations A construction contract is between two parties-Employer

    and contractor. The work is executed based on Contract provisions and

    the rights and obligations of the parties are governed by

    these documents Both parties have to fulfill their respective obligations

    under the contract. Non fulfillment of any obligation by one party affects the

    interests of the other party Long duration of contract-various issues arise during

    construction Views of one party may not be acceptable to the other

    resulting in disagreement

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    Unresolved issues result in

    disputes Most of the issues are resolved by mutual discussions

    with the spirit of accommodating each others point ofview and in the overall interest of work.

    The Engineer plays an important role in ascertaining theviews of both sides. The Engineer, with his professionalexperience and fairness, endeavours to convince bothparties to come to a common understanding andagreement. If there is a disagreement, the Engineergives his decision/ determination in accordance with the

    contract. In case the issue can not be resolved, the dispute is

    precipitated

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    Sources of disputes

    Sources of disputes could be: Inconsistencies/discrepancies in contract provisions

    Delay in giving possession of site

    Denial of extension, Liquidated damages Rejection of work, Cancellation of contract, Foreclosure

    Variations, Fixing rates,

    Delays and denial of payments, etc.

    Delays in execution and failure of contractor Non adherence to contract conditions and specifications by

    contractor

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    Interpretation of contracts incase of discrepancies The following aspects are to be considered while

    interpreting contract documents

    a) Contract to be read as a whole

    c) Local custom or usage

    d) Reasonable meaning

    e) Order of precedence among various documentsforming part of contract

    f) Words versus figures

    g) Written words versus printed words

    h) General versus special provisions

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    Inconsistencies in differentparts of Contract In order to resolve apparent inconsistencies or

    contradictions, in cases where the subject matter iscovered several times in different parts of theContract, the order of precedence to be considered

    is laid down in the General Conditions of Contractadopted by various organisations

    There is a sub-clause in FIDIC contract form also(Federation Internationale des Ingenieurs-Conseils)

    laying down the order of precedence forinterpretation

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    Interpretation of contracts-Orderof precedence- FIDIC The contract agreement

    The letter of acceptance

    The letter of tender

    The Particular Conditions

    The General Conditions

    The Specification The Drawings

    The schedule or any other documents

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    Engineers clarification

    If an ambiguity or discrepancy is found in the

    documents, the Engineer shall issue

    necessary clarification or instruction

    The work will be executed as per the

    instruction of Engineer

    Disagreement on any issue may result in

    claim/dispute which will have to be resolvedby various procedures of dispute resolution

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    Lodging claims-notice andsubstantiation

    If contractor intends to claim any additional payment, heshall give notice to Engineer with copy to Employer,immediately on occurrence of an event leading to claim

    Contractor shall keep contemporary record necessary tosupport his claim

    Without necessarily admitting the Employers liability,Engineer may inspect the records

    Contractor shall send detailed particulars and supportingdetails to substantiate his claim

    Contractor shall also submit any further particulars,documents or clarifications as desired by the Engineer

    Copies of the correspondence shall be endorsed to theEmployer

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    Engineers response to theclaim If the Engineer agrees to the claim, he shall

    issue a variation order admitting payment

    If the Engineer does not agree, he shall state

    reasons for his disagreement The Contractor may advance further

    arguments in support of his claim The Engineer may reconsider and give his

    decision/determination Copies of the correspondence shall be

    endorsed to the Employer

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    Various stages of resolution ofdisputes-Domestic/Government

    contract form Mutual discussion Decision of Accepting officer Conciliation- provision in the Arbitration and

    Conciliation Act, 1996 Arbitration as per the Arbitration and

    Conciliation Act, 1996

    Intervention by Court

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    Various stages of resolution ofdisputes-FIDIC contract Mutual discussion

    Decision of the Engineer

    Dispute review board-or Dispute Resolution

    Board-(Dispute Adjudication Board in FIDIC

    99)

    Arbitration

    Intervention of Court

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    Dispute Review Board-

    appointment FIDIC contract provides for DRB to settledisputes during execution / completion ofproject

    Normally formed by 3 Members experiencedwith the type of construction

    A Member should have no financial interest inany party-no previous employment with anyparty

    One Member nominated by each party-Third

    Member nominated by two Members-acts asChairman Any disputes that cannot be settled may be

    referred to the DRB

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    DRB proceedings-proceduredecided in consultation with

    parties DRB calls for Claims statement with details-copyto opposite party

    On receipt ,calls for Defence statement from theparties

    DRB visits site along with parties-conductshearing Full opportunity is given to both parties to

    present their cases DRB Members have their internal meeting,

    deliberate the issues among them and maketheir Recommendations If this is not acceptable to either party, the matter

    may be referred to Arbitration

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    Dispute Adjudication Board

    DRB is replaced by DAB in FIDIC 99 DAB is formed in a similar way and conducts

    proceedings in similar way While DRB gives Recommendations, DAB gives

    its Decision which shall be binding on parties Within a specified period, any party may give notice

    of dissatisfaction to the other party with copy toDAB.

    The case may be referred to arbitration there after If no such notice is given with the specified period,

    then the DABs decision shall be final and bindingon both parties

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    The Arbitration and ConciliationAct, 1996 This is a very recent act formulated and enacted to

    make it more responsive to contemporary requirements. The old act, The Arbitration Act, 1940 was considered

    outdated. The new act replaces the old act

    It was recognized that our economic reforms may notbecome fully effective if the law dealing with settlementof both domestic and international commercial disputesremains out of tune with such reforms

    Conciliation, which is getting worldwide recognition asan instrument for settlement of disputes , is included inthe act

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    Objectives of the Act

    To comprehensively cover international and commercialarbitration and conciliation taking into account theModel Law adopted by United Nations Commission onInternational Trade Law (UNCITRAL)

    Also domestic arbitration and conciliation To make provision for an arbitral procedure which is

    fair, efficient and capable of meeting the needs ofspecific arbitration

    To provide that the arbitral tribunal gives reasons for itsaward

    To ensure that the tribunal remains within the limits ofits jurisdiction

    To minimise the supervisory role of courts

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    Other objectives of the Act

    To provide that every final award is enforced in thesame manner as if it were a decree of the court

    To provide that a settlement agreement reached by theparties as a result of conciliation proceedings will have

    the same status and effect as an arbitral award onagreed terms on the substance of the dispute renderedby an arbitral tribunal

    To permit an arbitral tribunal to use mediation,conciliation or other procedures during the arbitral

    proceedings to encourage settlement of disputes

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    Conciliation

    Conciliation is the process by which the parties are facilitated to reachan amicable settlement of their disputes (part III of Arbitration andConciliation Act,1996)

    This is adopted prior to Arbitration like DRB for settlement of disputeswithout resorting to Arbitration

    Conciliation takes place only if the parties agree to it. Conciliator is appointed as per contract provision He shall be guided by the principles of objectivity, fairness and justice.

    He facilitates the parties to come together for an agreed settlement When the parties sign settlement agreement ,it shall be final and

    binding on the parties Conciliator authenticates settlement agreement The settlement agreement shall have the status of arbitral award

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    Arbitration agreement

    Arbitration agreement means An agreement by the parties to submit to arbitration

    All or certain disputes

    Which have arisen or which may arise between them In respect of a defined legal relationship

    Whether contractual or not

    An arbitration agreement shall be in writing

    May be a clause in a contract agreement

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    Matters that cannot be referredto arbitration Broadly the matters involving morality, status and public policy

    cannot be referred to arbitration, such as

    b) Matrimonial matters like divorce, restitution of conjugal rights

    c) Matters relating to guardianship of a minor

    d) Testamentary matters, like, questions about validity of a will

    e) Insolvency mattersf) Criminal proceedings

    g) Questions relating to charitable trusts

    h) Matters coming within the purview of the Monopolies andrestrictive trade practices act

    i) Dissolution or winding up of a companyj) And such other matters

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    Arbitral TribunalNumber of arbitrators There may be a single arbitrator (sole arbitrator) Tribunal may have more than one arbitrator, not even number, as

    determined by the parties. This may be stipulated in thearbitration agreement

    Arbitrator may be of any nationality unless otherwise agreed bythe parties

    Arbitration agreement may stipulate certain qualifications for thearbitrators

    There may be designated appointing authority for appointment ofarbitrator as may be provided in the arbitration agreement

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    Appointment of arbitrators byparties-three arbitrators The parties are free to agree on a procedure for

    appointing an arbitrator or arbitrators Failing any such agreement, in an arbitration

    with three arbitrators, each party shall appointone arbitrator, and the two appointed arbitratorsshall appoint the third arbitrator, who shall act aspresiding arbitrator.,

    In Government contract form, provision may bemade for appointment of arbitrator by adesignated authority specified in the arbitrationclause/agreement

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    Failure to appoint arbitrator

    If a party fails to appoint an arbitrator within 30

    days from the receipt of request from the other

    party; or

    If the two appointed arbitrators fail to agree onthe third arbitrator within thirty days from the

    date of their appointment;

    the appointment shall be made, upon request of

    a party, by the Chief Justice of High Court or

    any person or institution designated by him.

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    Appointment of arbitrator byparties- sole arbitrator In arbitration by sole arbitrator, if the parties fail to

    agree on the arbitrator within 30 days from receipt of

    request by one party from the other party, upon

    request by a party, the appointment shall be made

    by Chief Justice or any person or institution

    designated by him.

    In Government contract form, provision may be

    made for appointment of arbitrator by a designatedauthority specified in the arbitration

    clause/agreement

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    Interest of both parties

    The delays and disagreements can be minimized if

    sole arbitrator is to be appointed instead of three or

    more arbitrators

    If both parties feel that their interest is served byproceeding with the arbitration, the things will move

    fast.

    They some how find a commonly acceptable

    arbitrator, cooperate in early finalisation of the case Otherwise the party who feels that proceeding with

    the arbitration is detrimental to his interest, finds all

    excuses to delay the matter

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    Arbitrator to disclose- groundsfor challenge When a person is approached in connection with his

    possible appointment as arbitrator, he shall disclose

    in writing any circumstances likely to give rise to

    justifiable doubts as to his independence or

    impartiality

    If not already done, the arbitrator shall disclose such

    circumstances during the proceedings at the earliest

    If the arbitrator fails to disclose such circumstances,his appointment may be challenged

    He may also be challenged if he does not possess

    requisite qualifications as per arbitration agreement

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    Decision on challenge

    The challenged arbitrator may withdraw from his

    office

    The other party may also agree to the challenge

    If none of the above happens, the arbitral tribunalshall decide on the challenge

    If the challenge is not successful, the tribunal shall

    continue the proceedings and make the award

    The party challenging the arbitrator may make anapplication for setting aside such an award, as and

    when made, in accordance with section 34

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    Failure or impossibility to act-termination of mandate of

    arbitrator The mandate of an arbitrator shall terminate if He becomes de jure or de facto unable to perform

    his functions or

    for other reasons fails to act without undue delay He withdraws from office for any reason or

    the parties agree to the termination of his

    mandate

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    Substitution of arbitrator

    Where the mandate of an arbitratorterminates, a substitute arbitrator shall beappointed according to the rules that were

    applicable to the appointment of arbitratorbeing replaced Where an arbitrator is replaced, any hearings

    previously held may be repeated

    The rulings earlier made by the tribunal priorto replacement of the arbitrator shall not beinvalid solely because there has been achange in the composition of tribunal

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    The arbitration clause isindependent of rest of the

    contract An arbitration clause which forms part of a contractshall be treated as an agreement independent ofother terms of the contract

    For example, even if a contract is cancelled for

    contractors default, the arbitration clause survivesbased on which arbitrator can be appointed

    If arbitral tribunal rules that a contract is null andvoid, this shall not entail ipso jure the invalidity of

    arbitration agreement

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    Ruling on the jurisdiction ofarbitral tribunal Parties may question the jurisdiction of

    arbitral tribunal

    Arbitral tribunal is competent to rule on its own jurisdiction

    To rule on the validity of arbitration clause or

    arbitration agreement

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    Objections on jurisdiction orexceeding the scope of authority Objection not later than submission of statement of

    defence

    If any matter raised by a party is considered to be

    beyond the scope of the arbitrators authority by theopposite party, the opposite party may raise

    objection but this shall be raised immediately without

    delay

    The arbitral tribunal may admit if it considers delayjustified

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    Decision of arbitral tribunal

    If the arbitral tribunal considers that the

    objections are not valid and rejects the plea,

    the tribunal shall continue with the

    proceedings and publish the award The party aggrieved by such an award may

    make an application to the court for setting

    aside the award under section 34

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    Conduct of arbitral proceedings-Equal treatment of parties The parties shall be treated with equality

    Each party shall be given a full opportunity to

    present his case

    All the correspondence is addressed to both

    parties

    All the discussions are held only during

    presence of both parties

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    Parties are free to agree

    Many sections (clauses) start with the

    provision parties are free to agree

    Failing an agreement the arbitral tribunal

    takes decision Many sections start with the provision unless

    otherwise agreed by the parties. That means

    that the rest of the provision in the sectionshall be operative only if the parties have not

    agreed otherwise

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    Agreement between the partiesis given the highest importance The whole purpose of arbitration is resolve

    disputes between the parties If both parties agree on an issue, that means

    there is no dispute as far as that issue isconcerned When the issue is not disputed, where is the

    need for an arbitrator or any body to

    interfere? Arbitrator comes in picture only in respect of

    the issues which continue to be under dispute

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    Determination of rules ofprocedure The parties are free to agree on a procedure to be

    followed by the arbitral tribunal in conducting itsproceedings

    If the parties fail to agree, the arbitral tribunal

    decides the procedure The tribunal has also got power to determine the

    admissibility, relevance, materiality, and weight ofany evidence

    The arbitral tribunal shall not be bound by The Code of civil procedure, 1908(5 of 1908) The Indian evidence act ,1872(1 of 1872)

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    Place of arbitration

    The parties are free to agree on the place ofarbitration

    If they fail to agree, the arbitral tribunal shalldetermine the venue having regard to the

    circumstances and convenience of the parties The arbitral tribunal may meet at any place itconsiders appropriate, for consultation among itsmembers, for hearing witnesses, experts or theparties, or for inspection of documents, goods or

    other property Normally, venue is fixed after consulting all

    concerned

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    Commencement of arbitralproceedings The arbitral proceedings in respect of a

    particular dispute commence on the date on

    which a request for that dispute to be referred

    to arbitration is received by the respondent Time for making award is counted from this

    date

    Language: as agreed by the parties. If notarbitral tribunal shall determine

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    Statement of claim anddefence Within the time agreed upon by the parties, or Determined by the arbitral tribunal, The claimant shall state the facts supporting his

    claim, The points at issue and the relief or remedy sought The respondent shall state his defence in respect of

    these particulars

    Parties may also submit all documents theyconsider relevant with their statements Either party may amend or supplement his claim or

    defence as may be allowed by the arbitrator

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    Hearing or writtenproceedings Arbitral tribunal shall decide whether to hold oral hearings for the

    presentation of evidence or oral argument or whether theproceedings shall be conducted on the basis of documents orother materials

    In practice, in most of the cases oral hearings will be conducted

    The parties shall be given sufficient advance notice Copies of all communications made by one party to the arbitrator

    shall be sent to the other party. Similarly, the communications made by the presiding arbitrator

    shall be sent to both parties as well as other arbitrators Any expert report or evidentiary document on which the arbitral

    tribunal may rely in making its decision shall be communicated tothe parties

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    Default of a party

    Unless otherwise agreed by the parties; If claimant fails to submit his statement within the

    stipulated time with out showing sufficient cause, thearbitral tribunal shall terminate the proceedings

    If the respondent fails to submit his defence withinstipulated time without showing sufficient cause, thearbitral tribunal shall continue the proceedings,without treating that the failure in itself as anadmission of the allegations by the claimant

    If a party fails to appear at an oral hearing or toproduce documentary evidence, the tribunal maycontinue the proceedings and make the award onthe evidence before it

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    Expert appointed by arbitraltribunal Unless otherwise agreed by the parties,

    The arbitral tribunal may appoint one or more

    experts to report to it on specific issues to be

    determined by the arbitral tribunal, and Require a party to give the expert any

    relevant information or to produce access to,

    Any relevant documents, goods or

    any other property for his inspection

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    Participation of expert in thehearing The expert shall submit his report to the tribunal

    copies of which will be made available to the parties There after he shall participate in the hearing where

    the parties have the opportunity to put questions to

    him and to present expert witnesses in order totestify on the points at issue

    If requested by a party, the expert shall makeavailable for examination of the party, the

    documents, goods or other property in hispossession (which were provided to him for makinghis report)

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    Making arbitral award by panelof arbitrators Any decision by arbitral tribunal shall be

    made by majority of all its members

    Questions of procedure may be decided by

    presiding arbitrator if authorised by parties orall arbitrators

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    Form and contents of arbitralaward- signature, date and place Shall be made in writing Shall be signed by the members of the

    tribunal

    Signatures of majority of members issufficient if the reason for omitted signature isstated

    Shall state the date and place of award Signed copy shall be delivered to each party

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    Form and contents of award-reasons upon which it is based Shall state the reasons upon which it is

    based

    This is obligatory unless The parties have agreed that no reasons are to be

    given

    The award is on agreed terms where settlement is

    reached by parties

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    Form and contents of award-interim award Arbitral tribunal may make interim award

    Any time during proceedings

    This is subject to final award

    Normally this may be needed to give interim

    relief to the affected party

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    Form and contents of award-interest up to the date of award Where the award is for payment of money

    The tribunal may award interest

    At the rate considered reasonable by tribunal

    On the whole or part of the money awarded For the whole or any part of the period

    Between the date on which the cause of action

    arose and the date on which the award is made

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    Form and contents of award-interest from the date of award

    to the date of payment Unless the award otherwise directs,

    The sum directed to be paid by the award

    shall carry interest at the rate of 18% per

    annum

    From the date of award to the date of

    payment

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    Form and contents of award-Costs of an arbitration costs means reasonable costs relating to

    The fees and expenses of the arbitrators and the

    witnesses,

    Legal fees and expenses, Any administration fees of the institution

    supervising the arbitration and

    Any other expenses incurred in connection with

    the proceedings and the award

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    Form and contents of award-award of costs Unless otherwise agreed by the parties The costs of an arbitration shall be fixed by

    the arbitral tribunal

    The tribunal shall specify The party entitled to costs The party who shall pay the costs The amount of costs or method of determining the

    amount and The manner in which the costs shall be paid

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    Termination of proceedings

    The arbitral proceedings shall be terminated

    by the final arbitral award or

    By an order for termination by arbitral tribunal

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    Application to court under Sec.34 contesting the award After receipt of award, if a party is not

    satisfied with the award, recourse to a court

    against the award may be made only by an

    application for setting aside such award The new Act, with the objective of minimising

    the supervisory role of courts in arbitral

    process, provided for limited grounds forsetting aside the award

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    Grounds for setting asideaward An arbitral award may be set aside by the

    court only if

    (b) The party making application must furnish

    proof of certain procedural irregularities.(The court does not interfere with the arbitraltribunals analysis of a claim and theassessment of the awarded amount out of

    the claimed amount)(c) The court finds some other legal grounds

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    Grounds for setting aside award (a) proof to be

    furnished by party-(I) The award may be set aside by the court onlyif

    (a) The party making application furnishes

    proof that(i) A party was under some incapacity, or

    (ii) The arbitration agreement is not valid under thelaw to which the parties have subjected it or,

    failing any indication there on, under the law forthe time being in force; or

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    Grounds for setting aside award

    (a) proof to be furnished by aparty-(II)

    Only if the party furnishes proof that

    (iii) The party making application was not

    given proper notice of the appointment of

    arbitrator or of the arbitral proceedings orwas otherwise unable to present his case;

    or

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    Grounds for setting aside award- (a) proof to be furnished by

    a party-IIIOnly if the party furnishes proof that(iv) The arbitral award deals with a dispute not

    contemplated by or not falling within the terms of the

    submission to arbitration, or it contains decisions on

    matters beyond the scope of the submission to arbitration.Provided that, if the

    decisions on matters submitted to arbitration can be

    separated from those not submitted, only that part of the

    award which contains decisions on matters beyond not

    submitted to arbitration may be set aside; or

    d f i id d

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    Grounds for setting aside award-

    (a) proof to be furnished by aparty-(IV)

    Only if the party furnishes proof that

    (v) the composition of the arbitral tribunal or the

    arbitral procedure was not in accordance with the

    agreement of the parties, unless such agreement

    was in conflict with a provision of this Part from

    which the parties cannot derogate, or, failing such

    agreement, was not in accordance with this Part

    G d f i id

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    Grounds for setting asideaward-

    (b) if the court finds thatThe award may be set aside by the court only if(b) The court finds that

    (i) the subject-matter of the dispute is not

    capable of settlement by arbitration under thelaw for the time being in force, or

    (ii) the arbitral award is in conflict with the

    public policy of India

    Ti f ki li i f

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    Time for making application forsetting aside award An application for setting aside award may not be

    made

    After 3 months 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

    (correction and interpretation of award, additional

    award), from the date on which that request hadbeen disposed of by the tribunal

    id i

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    court may consider extension

    If the court is satisfied that an applicant was

    prevented by sufficient cause from making

    the application within the said period of

    THREE months, it may entertain theapplication within a further period of THIRTY

    days

    And not there after

    Th t i t it

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    The court may give opportunityto the arbitral tribunal On receipt of application from the party for setting

    aside the award, the court may, Where it is considered appropriate and it is so

    requested by a party,

    Adjourn the proceedings for a period of time asdetermined by it In order to give the arbitral tribunal an opportunity to resume the arbitral proceedings or to take such other action as in the opinion of the

    tribunal will eliminate the grounds for setting asidethe arbitral award

    E f t f d A d

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    Enforcement of award-Awardfinal and binding The arbitration award shall be final and binding on

    the parties and persons claiming under themrespectively

    If both parties are satisfied with the award, it can be

    implemented. However, if any party is not satisfied with the award

    and they find that there are grounds for getting theaward set aside as per section 34, the party may file

    application in the court.

    Enforcement of award

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    Enforcement of award-Courts decision on application The section 34 provides very limited grounds

    for setting aside the award

    The court may find that there are no valid

    grounds to set aside the award and pass adecree in terms of award

    With the decree, the award can be enforced

    as per law

    Enforcement of award Courts

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    Enforcement of award-Courtsdecision to give opportunity to

    tribunal The court may give opportunity to the arbitraltribunal under section 34(4) and tribunal may take

    action to eliminate the grounds for setting aside the

    award

    The court may, there after, be satisfied that no

    grounds exist for setting aside the award and pass

    decree which can be enforced as per law

    Enforcement of a ard

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    Enforcement of award-award as if it were a decree Time for making application to the court for setting

    aside an award is 3 months from the date of receiptof receipt of arbitral award (or within the period asmay be extended by the court-not exceeding thirty

    days) Once the period expires, the arbitral award shall be

    enforced under the Code of Civil Procedure, 1908(5of 1908) in the same manner as if it were a decreeof a court

    Enforcement of award

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    Enforcement of award-Improvement in new act As per old act, separate application was to be filed

    in a court and decree obtained for enforcing theaward even if the award was not contested.

    This involved prolonged litigation and delay inenforcement of award

    In the new act, once the period for contesting theaward expires, the award shall be enforced as if itwere a decree and there is no need to go to thecourt for a decree

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    Settlement of disputes in

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    Settlement of disputes inArbitration Sole arbitrator/Arbitral tribunal is appointed as stipulated in the

    Arbitration agreement An arbitrator shall be independent, impartial and shall possess the

    qualification stipulated in the agreement The arbitrator shall not be bound by Code of Civil Procedure or the

    Indian Evidence Act.

    The parties shall be treated with equality and each party shall be givenfull opportunity to present his case Claimant submits claims statement; respondent submits counter claims

    with copies to the opposite party On receipt, Arbitrator asks both parties to submit their pleadings in

    defense with copy to the opposite party

    On receipt, the Arbitrator fixes hearing in consultation with both parties Claims and counter claims are heard in the hearing; both parties given

    full opportunity Award published with in the stipulated time

    Statement of claims

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    Statement of claims

    Description of claim

    Amount

    Relevant contract provisions

    Facts supporting the claim

    The points at issue

    Remedy sought

    Detailed calculations

    Relevant documents/other evidence

    Pleadings in Defence

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    Pleadings in Defence

    Description of claim Relevant contract provisions against the claim Facts against the claim The points at issue- Respondent's point of view

    Refuting the claim Scrutiny of detailed calculations and amount as

    corrected (without prejudice to disagreement to theclaimants arguments)

    Comments on documents/ evidence submitted bythe claimant Corresponding documents refuting claimants

    documents to disprove the claim

    Counter to Pleadings

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    Counter to Pleadings

    This may be submitted as reply to the

    Pleadings in Defence

    Counter arguments given in the Pleadings in

    Defence Any further clarifications on calculations

    Any further documents relevant to documents

    submitted by Respondent

    Engagement of advocate or

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    Engagement of advocate orconsultant by either party If either party intends to present their claims/

    defence through an advocate or a consultant,the party has to intimate the details to theArbitral Tribunal well in advance with copy tothe other party

    This will give ample time for the oppositeparty who may also decide to engage an

    advocate or a consultant and intimate thedetails to the Arbitral Tribunal with copy to theother party

    Hearing

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    Hearing

    Place of hearing, date and time will be fixed by theArbitrator in consultation with the parties

    Sufficient advance notice will be given to the parties

    All documents submitted to the Arbitrator by eitherparty shall be endorsed to the other party

    Similarly, all communications made by the Arbitrator

    shall be addressed to both parties

    All inspections and discussions shall be made bythe Arbitrator in presence of both parties

    Application to Court for setting

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    Application to Court for settingaside an Arbitral Award Time limit is THREE months from the date of receipt

    of the Award by the party This may be extended by maximum of thirty days by

    the Court considering the justification

    Where the time for making an application to setaside an award has expired, or where suchapplication has been refused by the Court, theaward shall be enforced as if it were a decree of aCourt. This is a great improvement from old act

    As per old Arbitration Act, obtaining a court decreewas compulsory for enforcement of award. Thisresulted in prolonged litigation and delay inenforcement

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