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ARTICLE · 24 JULY 2008

Enforcement Of Arbitration Awards In India (Part 2)

Kachwaha & Partners
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A jurisdiction’s credibility as an arbitration friendly one rests primarily on the efficiency and efficacy of its award enforcement regime.

IndiaLitigation, Mediation & Arbitration
Sumeet Kachwaha
Sumeet Kachwaha
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1. Conditions for enforcement:

a. Foreign award defined:

In order to be considered as a foreign award, (for the purposes of the Act) the same must fulfil two requirements. First it must deal with differences arising out of a legal relationship (whether contractual or not) considered as commercial under the laws in force in India. The expression "commercial relationship" has been very widely interpreted by Indian courts. The Supreme Court in the case of R.M. Investments Trading Co. Pvt. Ltd. v. Boeing Co. & Anr.35 while construing the expression "commercial relationship" held:

"The term "commercial" should be given a wide interpretation so as to cover matters arising from all relationships of a commercial nature, whether contractual or not..."

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