All type of ACTs- LAND & PROPERTY MANAGEMENT Page 3
arbitration are free to agree on the procedure to be followed by the Arbitral Tribunal. If the parties donot agree to the procedure, the procedure will be as determined by the arbitral tribunal.1.
LAW OF LIMITATION APPLICABLE
- Limitation Act, 1963 is applicable. For this purpose, dateon which the aggrieved party requests other party to refer the matter to arbitration shall beconsidered. If on that date, the claim is barred under Limitation Act, the arbitration cannotcontinue. [section 43(2)]. If Arbitration award is set aside by Court, time spent in arbitration willbe excluded for purpose of Limitation Act. [so that case in court or fresh arbitration can start].2.
FLEXIBILITY IN RESPECT OF PROCEDURE, PLACE AND LANGUAGE
- Arbitral Tribunalhas full powers to decide the procedure to be followed, unless parties agree on the procedure tobe followed. [section 19(3)]. The Tribunal also has powers to determine the admissibility,relevance, materiality and weight of any evidence. [section 19(4)]. Place of arbitration will bedecided by mutual agreement. However if the parties do not agree to the place, the same will bedecided by tribunal. [section 20]. Similarly, language to be used in arbitral proceedings can bemutually agreed. Otherwise, Arbitral Tribunal can decide. [section 22].3.
SUBMISSION OF STATEMENT OF CLAIM AND DEFENCE
- The claimant should submitstatement of claims, points of issue and relief or remedy sought. The respondent shall state hisdefence in respect of these particulars. All relevant documents must be submitted. Such claimor defence can be amended or supplemented any time [section 23].4.
HEARINGS AND WRITTEN PROCEEDINGS -
After submission of documents and defence,unless the parties agree otherwise, the Arbitral Tribunal can decide whether there will be oralhearing or proceedings can be conducted on the basis of documents and other materials.However, if one of the parties requests, the hearing
be oral. Sufficient advance notice ofhearing should be given to both the parties. [section 24]. [Thus, unless one party requests, oralhearing is not compulsory].5.
SETTLEMENT DURING ARBITRATION
- It is permissible for parties to arrive at mutualsettlement even when arbitration is proceeding. In fact, even the Tribunal can make efforts toencourage mutual settlement. If parties settle the dispute by mutual agreement, the arbitration
be terminated. However, if both parties and the Arbitral Tribunal agree, the settlement canbe recorded in the form of an arbitral award on agreed terms. Such Arbitral Award shall havethe same force as any other Arbitral Award. [section 30].
- Decision of Arbitral Tribunal is termed as 'Arbitral Award'. Arbitrator can decide thedispute
ex aequo et bono
(In justice and in good faith) if both the parties expressly authorise him todo so. [section 28(2)]. The decision of Arbitral Tribunal will be by majority. The arbitral award shall bein writing and signed by the members of the tribunal. [section 29]. The award must be in writing andsigned by the members of Arbitral Tribunal. [section 31(1)].. It must state the reasons for the awardunless the parties have agreed that no reason for the award is to be given. [section 31(3)]. The award