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ARTICLE · 15 MAY 2017

Validity And Grounds For Challenging An Award

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The parties cannot appeal against an arbitral award as to its merits and the court cannot interfere on its merits.

IndiaLitigation, Mediation & Arbitration

PREFACE

The parties cannot appeal against an arbitral award as to its merits and the court cannot interfere on its merits. The Supreme Court has observed "an arbitrator is a judge appointed by the parties and as such an award passed by him is not to be lightly interfered with." But this does not mean that there is no check on the arbitrator's conduct. In order to assure proper conduct of proceeding, the law allows certain remedies against an award.

INDIAN SCENARIO

Under the repealed 1940 Act three remedies were available against an award- modification, remission and setting aside. These remedies have been put under the 1996 Act into two groups. To the extent to which the remedy was for rectification of errors, it has been handed over to the parties and the Tribunal. The remedy for setting aside has been moulded with returning back the award to the Tribunal for removal of defects.

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