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Can a party appeal an arbitral award in India? If yes, what is the process?

26-May-2024
Arbitration

Answer By law4u team

Yes, a party can appeal an arbitral award in India under certain circumstances. The process for appealing an arbitral award is governed by the Arbitration and Conciliation Act, 1996. Here's a general overview of the process: Section 34 Application: The first step for challenging an arbitral award is to file a petition under Section 34 of the Arbitration and Conciliation Act, 1996. This petition must be filed in the appropriate court within three months from the date of receipt of the arbitral award. Grounds for Challenge: The petition challenging the arbitral award can be made on certain specified grounds, such as: A party was under some incapacity. The arbitration agreement was not valid under the law to which the parties have subjected it or, failing any indication thereon, under the law for the time being in force. The party making the application was not given proper notice of the appointment of an arbitrator or of the arbitral proceedings or was otherwise unable to present his case. 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. The composition of the arbitral tribunal or the arbitral procedure was not in accordance with the agreement of the parties. The arbitral award is in conflict with the public policy of India. Court Proceedings: The court will hear both parties and examine the evidence and arguments presented. The court may set aside or modify the arbitral award if it finds any of the grounds specified under Section 34 of the Act are satisfied. Appeal: If a party is dissatisfied with the decision of the court under Section 34, they may appeal to a higher court, usually the High Court. The appeal must be made within a specified time frame, as per the rules of the respective High Court. Final Appeal: In some cases, further appeals can be made to the Supreme Court of India, but this is generally limited to questions of law. It's important to note that the grounds for challenging an arbitral award are limited, and the courts generally have a pro-arbitration approach, meaning they are reluctant to interfere with arbitral awards except under specific circumstances.

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