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Arbitration – Enforcement of awards where the time to apply for setting aside u/s S. 34 has not expired

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Arbitration and Conciliation Act, 1996, Section 36(1) – Enforcement of awards where the time to apply for setting aside has not expired, must halt till the award-debtor takes appropriate steps or the relevant Supreme Court orders passed in Suo Motu Writ Petition (Civil) No. 3/2020 are modified, whichever is earlier –  limitation – Extention of –  Affect of  – Whether the time to file the Section 34 application has expired –   Under Section 36(1) award shall be enforced in accordance with the provisions of The Code of Civil Procedure, 1908 in the same manner as if it were a decree of the Court, provided the time for making an application to set aside the Award under Section 34 has expired –   Under Section 34(3), an award-debtor has three months to apply for setting aside the award with additional 30 days in the proviso available – Award is dated 31st August, 2020,  applicant/award-debtor received the said Award on 7th September, 2020, three months expired on 7th December, 2020 – Effect of the order of the Supreme Court dated 27th April, 2021 – Order clarifies that the period of limitation whether under general or special laws or in respect of judicial/quasi judicial proceedings, shall stand extended till further orders – Hence the time to apply for setting aside of the award dated 31st August, 2020 has still not expired – Since the award debtor’s time to apply for setting aside under Section 34 continues to run, the award-holder cannot seek enforcement of the award dated 31st August, 2020 –  Enforcement of awards where the time to apply for setting aside has not expired, must therefore halt till the award-debtor takes appropriate steps or the relevant Supreme Court orders are modified, whichever is earlier – Arbitration and Conciliation Act, 1996, Section 34.

Read here; 2021 SCeJ 1127

Tags: Arbitration S. 34Arbitration S. 36

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