Indian Arbitration Quarterly Roundup (January 2022 – March 2022)

In recent times, several noteworthy judgments have been rendered by the Indian courts in matters relating to the law of arbitration in India. Some decisions rendered in the first quarter of 2022 that discuss the legal position concerning the interpretation and applicability of provisions of the Arbitration and Conciliation Act, 1996 have been summarised below:

1. UHL Power Company Ltd. v. State of Himachal Pradesh

Citation: 2022 SCC OnLine SC 19
Decision date: 7 January 2022

Arbitral tribunal has the power to grant post award interest on the interest awarded in arbitral award under the Arbitration and Conciliation Act, 1996.

Brief Facts: On 05 June 2005, the sole arbitrator had awarded a sum of INR 26,08,89,107 in favour of UHL Power Company Limited (UHL), the appellant, towards certain expenses claimed along with pre-claim interest capitalized annually, on the expenses so incurred. Further, compound interest was awarded in favour of UHL at a rate of 9%