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What is the procedure for challenging an arbitration award in India?

11-Mar-2023
Arbitration

Answer By law4u team

The procedure for challenging an arbitration award in India is governed by the Arbitration and Conciliation Act, 1996. An arbitration award can be challenged on the following grounds: Setting aside the award: A party can file an application with the court to set aside the award within three months of the date on which the party received the award. The grounds for setting aside the award are limited and include lack of jurisdiction, improper composition of the arbitral tribunal, violation of the principles of natural justice, and conflict with public policy. Appeal against the award: A party can also file an appeal with the court against the award within three months of the date on which the party received the award. The grounds for appeal are limited to questions of law arising out of the award. Request for clarification or interpretation of the award: If there is any ambiguity or uncertainty in the award, a party can request the arbitrator(s) to clarify or interpret the award within 30 days of the receipt of the award. If the arbitrator(s) fail to do so, a party can file an application with the court requesting clarification or interpretation. Request for correction of the award: If there is any error or mistake in the award, a party can request the arbitrator(s) to correct the award within 30 days of the receipt of the award. If the arbitrator(s) fail to do so, a party can file an application with the court requesting correction of the award. It is important to note that the grounds for challenging an arbitration award are limited, and the court will generally not re-examine the merits of the dispute. The court will only set aside or modify the award if there is a serious procedural irregularity or if the award is contrary to public policy.

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