Purpose Of A&C Act Stands Defeated If There Are Delays In Executing Arbitral Award: Jharkhand High Court

The Jharkhand High Court division bench comprising Chief Justice Tarlok Singh Chauhan and Justice Rajesh Shankar observed that the purpose and the object of the Arbitration and Conciliation Act, 1996, and the Commercial Courts Act, 2015, would stand defeated if there are delays in the execution of the Arbitral Award. The present petition was filed by M/s/ R.K. Construction Private Limited (“RKCPL”), praying for expeditious adjudication of the execution petition filed by RKCPL before the execution court. The Court observed that there can be no objection to a prayer for expeditious adjudication. The Supreme Court in Rahul S. Shah v. Jinendra Kumar Gandhi and Ors. (2021) provided detailed guidelines and directions concerning the conduct of the execution proceedings. The Supreme Court at ¶42.13 had observed that the executing Court must dispose of the execution proceedings within six months from the date of filing of the petition. The concerned period may be extended only by recording reasons for delay in writing. The bench further took note of the judgment rendered by the Supreme Court in M/s. Chopra Fabricators and Manufacturers Private Limited v. Bharat Pumps and Compressors Ltd. and Anr., (2023), wherein it was observed that execution of the Arbitral Award is quintessential to uphold the purpose of the Arbitration and Conciliation Act, 1996, and Commercial Courts Act, 2015. Furthermore, the bench observed that the Supreme Court in Periyammal (Dead) through Lrs. and Others v. V. Rajamani and Another, 2025, gave directions to all the High Courts to issue an administrative order directing the concerned district judiciary to ensure that the pending execution petitions should be decided and disposed of within a period of six months. Lastly, the Court directed the Executing Court to complete the execution proceedings as expeditiously as possible and by November 30th, 2025. In the above terms, the Division Bench disposed of the petition. Case Name: R.K. Construction Private Limited v. State of Jharkhand Case Number: C.M.P. No. 397 of 2025 Counsel for the Petitioner: Mr. M.S. Mittal, Sr. Advocate, Ms. Amrita Singh, Advocate Counsel for the Respondent: A.C. to G.P. -IV Click Here To Read/Download The Order

Purpose Of A&C Act Stands Defeated If There Are Delays In Executing Arbitral Award: Jharkhand High Court

Mohd Talha Hasan

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