Fix It, Don't Flip It – SC's New Take On Arbitral Awards

Intervene only when necessary, modify only when strictly permissible and always defer to the arbitral tribunal's role as the final adjudicator of facts..!!

ABSTRACT

The Supreme Court's Constitution Bench decision in Gayatri Balasamy marks a turning point in Indian arbitration law. Departing from the traditional view that courts cannot modify arbitral awards under Section 34 of the Arbitration and Conciliation Act, 1996, the majority by a 4:1 decision has held that limited modifications are permissible under certain circumstances. This article analyses the Court's rationale, examines its implications for party autonomy, finality of awards and international enforceability, while evaluating the prudence of relying on judicially implied powers.