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ARTICLE · 20 AUGUST 2020

Foreign Awards Cannot Be Annulled By Indian Courts

The Delhi High Court in a recent judgement in the case of Dredging Corporation of India v. Mercator Limited (decided on 10 October 2018) firmly

IndiaLitigation, Mediation & Arbitration

Introduction

The Delhi High Court in a recent judgement in the case of Dredging Corporation of India v. Mercator Limited (decided on 10 October 2018) firmly disapproved of annulment proceedings mounted in India against an LMAA award. The ruling clarified that the expressions 'seat of arbitration' and 'venue of arbitration' are distinct legal concepts and not inter-changeable. The Court ruled that the jurisdiction to review or annul a foreign award could only be exercised by the curial court, i.e. the English courts.

Facts

Disputes arose out of a charter party governed by English law. The charter party provided for London arbitration, governed by the English Arbitration Act, 1996 and conducted in accordance with the London Maritime Arbitrators Association ("LMAA") Rules.

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