From Finality To Flexibility: Post-Gayatri Balasamy Jurisprudence In Indian Arbitration (2025)

The Hon'ble Justice M.N. Venkatachaliah in his speech “Keeping the Spirit of the Common Law Alive”, once said that “Flexibility is the prime virtue of common law. The genius of common law lies in its capacity for evolution and adaptability, as well as its resilience to cope with the demands of the times.”[1] This statement fits well within Indian arbitration jurisprudence. Last year,...

Substitution Of Arbitrators, Unaddressed Statutory Imperative In Jagdeep Chowgule

The evolution of arbitration law in India reflects a persistent legislative endeavour to create an efficient alternative to traditional litigation. The Arbitration Act, 1940, despite its historical significance, was marked by excessive judicial oversight and procedural complexity that often defeated the very purpose of arbitration. The arbitral process under the 1940 regime became mired...

Post-Award Property Purchasers Have No Right To Resist Execution Of Arbitral Award : Supreme Court

The Supreme Court has reaffirmed that a transferee who purchases property from a judgment-debtor during the pendency of proceedings has no locus to resist or object to the decree passed in favour of the judgment-creditor. A bench comprising Justice Pankaj Mithal and Justice S. V. N. Bhatti considered the matter, where the appellant, having purchased the property from Respondent No. 2...

Substitution Of Arbitrator Is Not Mandatory On Termination Of Arbitral Tribunal's Mandate Under S. 29A : Supreme Court

Upon termination of the arbitral tribunal's mandate, the Court has the discretion either to extend the mandate of the existing tribunal or to appoint a substitute arbitrator while granting such extension.

High Courts Cannot Nullify Arbitral Proceedings While Appointing Substitute Arbitrator : Supreme Court

The Supreme Court recently observed that it is impermissible for the High Courts to interfere with an arbitration proceeding while deciding an application seeking a substitution of an arbitrator. A bench of Justices JB Pardiwala and KV Viswanathan set aside a Bombay High Court order that had declared arbitral proceedings a nullity while considering an application for substitution of...

Arbitration Act | S.37 Court Cannot Recalculate Damages Awarded By S. 34 Court Without Finding Arbitrariness Or Perversity : Supreme Court

The Supreme Court recently held that a court exercising appellate jurisdiction under Section 37 of the Arbitration and Conciliation Act, 1996 cannot re-calculate or substitute its own assessment of compensation once a Section 34 court has fixed a reasonable award within the terms of the contract.A bench of Justice Pamidighantam Sri Narasimha and Justice Atul S Chandurkar restored a Delhi...

Party Who Accepted S.11 Order For Arbitrator Appointment Can't Later Question Validity Of Arbitration Clause Under Pre-2015 Regime: Supreme Court

The Supreme Court on Wednesday (February 4) reiterated that under the pre-2015 amendment regime, once a party consents to a court order appointing an arbitrator, they cannot subsequently challenge the existence or validity of the arbitration clause before the arbitral tribunal or in proceedings under Section 34. A bench comprising Justices J.B. Pardiwala and K.V. Viswanathan heard an...

Award Passed After Arbitrator's Mandate Expiry Not Void If Court Extends Time: Supreme Court

In a notable development, the Supreme Court on Tuesday (February 3) held that where an arbitral award is rendered beyond the statutory period prescribed under Section 29A, such an award, though rendered after the tribunal's mandate has technically terminated, can be given effect if an application is filed before the competent court under Section 29A seeking extension of the arbitral...

When Arbitration Agreement Is Alleged To Be Forged, Dispute Is Not Arbitrable : Supreme Court

The Supreme Court on Monday (February 2) observed that the parties cannot be compelled to arbitrate when the very existence of the contract containing the arbitration clause was alleged to be fake. “…in a case where plea is taken with regard to non-existence of an arbitration clause or agreement, the same would amount to serious allegation of fraud and would render the subject matter of...

Only Civil Court Of Original Jurisdiction Can Extend Arbitral Tribunal's Mandate, Not Referral Courts : Supreme Court

The Supreme Court on Thursday (January 29) held that applications for extending an arbitral tribunal's mandate under Section 29A (4) of the Arbitration & Conciliation Act, 1996 must be filed exclusively before the 'Court' as defined in Section 2(1)(e) i.e., the principal civil court of original jurisdiction, regardless of which authority appointed the arbitrators. A bench of Justices...

Arbitration | 'Substantial Financial Interest' No Ground To Implead Non-Signatory; Active Participation In Contract Essential: HP High Court

The Himachal Pradesh High Court has ruled that merely because a party has a substantial financial interest in the subject matter of the contract, that alone cannot be a ground for impleading it as a party in the arbitration proceedings between the parties before the learned Arbitrator.The HC thus upheld an arbitral tribunal's decision rejecting the impleadment application of a non-signatory...

Supreme Court Annual Digest 2025: Arbitration And Conciliation Act

Arbitration A non-signatory to an arbitration agreement cannot be permitted to remain present in arbitration proceedings, as it would breach confidentiality and exceed the Court's jurisdiction after appointing an arbitrator - Section 35 of the 1996 Act states that an award binds only parties to the arbitration and those claiming under them - 'Party' is defined by section 2(h) as...