ARRANGEMENT OF SECTIONS
1. Short title.
GENERAL PROVISIONS RELATING TO ARBITRATION BY CONSENT OUT OF COURT
3. Application of Part II.
4. Provisions implied in submission.
5. Reference to arbitrator to be appointed by third person.
6. Power to stay proceedings where there is a submission.
7. Powers of court to extend time for commencing arbitration proceedings.
8. Power of the court in certain cases to appoint an arbitrator, umpire or third arbitrator.
9. Power of parties in certain cases to fill vacancy.
10. Power as to appointment of arbitrators where submission provides for three arbitrators.
11. Power of arbitrator or umpire.
12. Award to be signed and filed.
13. Process to summon witnesses.
14. Power of court to extend time for making award.
15. Power to remit award.
16. Power to set aside award.
17. Award when filed to be enforceable as a decree.
18. Power to remove arbitrator or umpire.
21. Power of High Court to make rules.
22. Application of Part II to Government.
25. Application to statutory arbitration.
26. [Transitional provisions.]
PROVISIONS RELATING TO THE PROTOCOL SET FORTH IN THE THIRD SCHEDULE
27. Staying of court proceedings in respect of matters to be referred to arbitration under agreements relating to submission to arbitration.
PROVISIONS RELATING TO THE CONVENTION SET FORTH IN THE FOURTH SCHEDULE
28. Application of Part IV.
29. Effect of foreign awards.
30. Conditions for enforcement of foreign awards.
32. Meaning of "final award".
33. [Transitional provisions.]
THE ARBITRATION ACT
An Act to provide for arbitration of disputes.
[22nd May, 1931]
26 of 1931
32 of 1932
10 of 1971
PRELIMINARY PROVISIONS (ss 1-2)
This Act may be cited as the Arbitration Act.
In this Act, unless the context otherwise requires–
"the court" means the High Court;
"submission" means a written agreement to submit present or future differences to arbitration, whether an arbitrator is named therein or not.
GENERAL PROVISIONS RELATING TO ARBITRATION BY CONSENT OUT OF COURT (ss 3-26)
This Part shall apply only to disputes which, if the matter submitted to arbitration formed the subject of a suit, the High Court only would be competent to try:
Provided that in regard to disputes which, if they formed the subject of a suit would be triable otherwise than by the High Court, the President may, with the concurrence of the Chief Justice, confer the powers vested in the court by this Part either upon all subordinate courts or any particular subordinate court or class of court.
Unless a different intention is expressed therein a submission shall be irrevocable, except by leave of the court, and shall be deemed to include the provisions set forth in the First Schedule hereto, in so far as they are applicable to the reference under submission.
The parties to a submission may agree that the reference shall be to an arbitrator or arbitrators to be appointed by a person designated therein and an arbitration may be designated either by name or as the holder for the time being of any office or appointment.
Where a party to a submission to which this Part applies, or a person claiming under him, commences a legal proceedings against any other party to the submission or any person claiming under him in respect of any matter agreed to be referred, a party to the legal proceedings may, at any time after appearance and before filing a written statement or taking any other steps in the proceedings apply to the court to stay the proceedings; and the court, if satisfied that there is no sufficient reason why the matter should not be referred in accordance with the submission and that the applicant was, at the time when the proceedings were commenced, and still remains, ready and willing to do all things necessary for the proper conduct of the arbitration, may make an order staying the proceedings.
(1) Where the terms of an agreement to refer future disputes to arbitration provide that any claim to which the agreement applies shall be barred unless notice to appoint an arbitrator is given or an arbitrator is appointed or some other step is taken within the time fixed by the agreement and a dispute arises to which the agreement applies, the court, if it is of the opinion that the circumstances of the case hardship would otherwise be caused and notwithstanding that the time so fixed has expired may, on such terms, if any, as it may consider just, extend the time for the period as it thinks proper.
(2) The provisions of subsection (1) shall be without prejudice to any written law limiting the time for the commencement of arbitration proceedings.
(1) In any of the following cases–
(a) where a submission provides that the reference shall be to a single arbitrator and all the parties do not, after differences have arisen, concur in the appointment of an arbitrator;
(b) if an appointed arbitrator neglects or refuses to act or is incapable of acting or dies or is removed, and the submission does not show that it was intended that the vacancy should not be filled and the parties do not fill the vacancy;
(c) where the parties or two arbitrators are at liberty to appoint an umpire or third arbitrator and do not appoint him;
(d) where an appointed umpire or third arbitrator refuses to act or is incapable of acting or dies or is removed and the submission does not show that it was intended that the vacancy should not be filled, and the parties or arbitrators do not fill the vacancy,
any party may serve the other parties or the arbitrators, as the case may be, with a written notice to concur in appointing an arbitrator, umpire or third arbitrator.
(2) If the appointment is not made within seven clear days after the service of the notice, the court may, on application by the party who gave the notice and after giving the other party an opportunity of being heard, appoint an arbitrator, umpire or third arbitrator who shall have the like powers to act in the reference and to make an award as if he had been appointed by consent of all parties.
Where a submission provides that the reference shall be to two arbitrators, one to be appointed by each party, unless a different intention is expressed therein–
(a) if either of the appointed arbitrators refuses to act or is incapable of acting or dies or is removed, the party who appointed him may appoint a new arbitrator in his place;
(b) if, on such a reference, one party fails to appoint an arbitrator either originally or by way of substitution for seven clear days after the other party, having appointed his arbitrator, has served the party making default with a written notice to make the appointment, the party who has appointed an arbitrator may appoint that arbitrator to act as sole arbitrator in the reference and his award shall be binding on both parties as if he had been appointed by consent:
Provided that the court may set aside any appointment made under this paragraph.
(1) Where a submission provides that the reference shall be to three arbitrators, one to be appointed by each party and the third to be appointed by the two appointed by the parties, unless the submission expresses a contrary intention–
(a) if one party fails to appoint an arbitrator for seven clear days after the other party, having appointed his arbitrator, has served the party making default with notice to make the appointment the party who has appointed an arbitrator may appoint that arbitrator to act as sole arbitrator in the reference and the award of the arbitrator so appointed shall be binding on both parties as if he had been appointed by consent.
This section of the article is only available for our subscribers. Please click here to subscribe to a subscription plan to view this part of the article.