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Can arbitrators issue interim measures or injunctions in India?

01-Jul-2024
Arbitration

Answer By law4u team

Yes, arbitrators in India have the authority to issue interim measures or injunctions. This power is provided under the Arbitration and Conciliation Act, 1996, as amended. Key Provisions: Section 17: This section empowers an arbitral tribunal to order interim measures during the arbitral proceedings. The tribunal can issue orders to: Preserve assets relevant to the dispute. Secure the amount in dispute. Preserve evidence that may be relevant and material to the resolution of the dispute. Provide interim custody or sale of goods that are the subject matter of the arbitration. Provide other interim measures of protection as may appear necessary. Section 9: This section allows parties to approach a court for interim measures before, during, or after the arbitral proceedings. The court can order interim measures such as: Preservation, interim custody, or sale of goods. Securing the amount in dispute. Detention, preservation, or inspection of any property or thing. Interim injunction or appointment of a receiver. Any other interim measure of protection that may appear just and convenient. Key Points: Enforceability: Orders issued by an arbitral tribunal under Section 17 are enforceable as if they were orders of a court. Role of Courts: While arbitral tribunals can issue interim measures, parties often approach courts under Section 9 for similar relief, especially before the constitution of the tribunal or when immediate intervention is needed. Arbitrators’ powers to issue interim measures enhance the effectiveness of arbitration by providing necessary protections during the pendency of the arbitration proceedings.

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