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Preface:
Section 33 of the A & C Act, 1996 is similar to Section 152 of the Code of Civil Procedure,
1908 as the latter provision also speaks of correction of judgments or decrees or orders on
account of clerical or arithmetical mistakes or errors arising from accidental slip or omission.
Section 33 of the A & C Act essentially is in two parts. One part speaks of and deals with
what is known as an additional award on account of the arbitral tribunal omitting to deal with
certain claims which have been made before it and which aspect is the subject matter of
Section 33(4) of the A & C Act, 1996 with the related sub-sections being sub-sections (5) to
(7) of Section 33 of the A & C Act, 1996.
Once there is an additional award, it is considered as a separate award, and there is no merger
of the award already passed for some claims with the additional award. The later additional
award is given by law a status of an ‘additional award’. When there is correction to the
award, arithmetical or clerical, the original award passed merges in the corrected award and
hence, the period of limitation necessarily and only starts by applying the doctrine of merger
from the receiving of the corrected copy of the corrected/amended award.
Section 34(3) of the A & C Act, 1996 on literal reading provides that the period of three
months commences, for filing of the objections, from the date of “disposal” by the tribunal of
an application made under Section 33 of the A & C Act, 1996. It is pertinent to mention that
whereas the first part of Section 34(3) of the A & C Act, 1996 talks of three months period
for filing of objections from receiving of the arbitral award, the later part of Section 34(3) of
the A & C Act, 1996 talks of commencement of period, not from receiving of the copy of the
amended award pursuant to allowing an application under Section 33 of the A & C Act, 1996
but from the date of disposal of the application filed under Section 33 of the A & C Act,
1996. It is beyond debate that objections to an arbitral award are to be filed only after
receiving the copy of the award and this is obviously because it is only when the award is
read and understood, can the grievance be found on account of a particular issue being
decided in a particular manner. What requires emphasis is that an award has necessarily to be
read before the period of limitation can be said to have commenced for filing of objections to
an award and for which there has to be available a copy of the award.
It could not be the intention of the legislature that without knowing and understanding what is
the award, and more particularly what is the corrected award under Section 33 of the A & C
Statutory Provisions:
Section 33 of the A & C Act, 1996 states as under:
“33. Correction and interpretation of award; additional award-
(1) Within thirty days from the receipt of the arbitral award, unless another period of
time has been agreed upon by the parties-
(a) A party, with notice to the other party, may request the arbitral tribunal to correct
any computation errors, any clerical or typographical errors or any other errors
of a similar nature occurring in the award;
(b) If so agreed by the parties, a party, with notice to the other party, may request the
arbitral tribunal to give an interpretation of a specific point or part of the award.
(2) If the arbitral tribunal considers the request made under sub-section (1) to be
justified, it shall make the correction or give the interpretation within thirty days from
the receipt of the request and the interpretation shall form part of the arbitral award.
(3) The arbitral tribunal may correct any error of the type referred to in clause (a) of
sub-section (1), on its own initiative, within thirty days from the date of the arbitral
award.
(4) Unless otherwise agreed by the parties, a party with notice to the other party, may
request, within thirty days from the receipt of the arbitral award, the arbitral tribunal
to make an additional arbitral award as to claims presented in the arbitral
proceedings but omitted from the arbitral award.
(5) If the arbitral tribunal considers the request made under sub-section (4) to be
justified, it shall make the additional arbitral award within sixty days from the receipt
of such request.
(6) The arbitral tribunal may extend, if necessary, the period of time within which it shall
make a correction, give an interpretation or make an additional arbitral award under
sub-section (2) or sub-section (5).
(7) Section 31 shall apply to a correction or interpretation of the arbitral award or to an
additional arbitral award made under this section.”
In the matter of: State of Arunachal Pradesh V/s Damani Construction Co., (2007) 10
SCC 742:
In the matter of Damani Construction Co. (Supra) the Hon’ble Supreme Court of India was
pleased to hold that an application preferred under Section 33 of the A & C Act, 1996 cannot
be in the nature of review, it can only be for curing arithmetical errors, clerical errors and/or
typographical errors, and further, it can be preferred for seeking clarification albeit certain
portions of the arbitral award and/or for pointing out the issues which the arbitral tribunal
omitted to adjudicate upon.
If an application under Section 33 of the A & C Act, 1996 is preferred to seek review of the
arbitral award then the same would not only be dismissed for trending outside the scope of
Section 33 of the A & C Act, 1996 but also no benefit as regards the period of limitation
would be given to the applicant so far as Section 34 of the A & C Act, 1996 is concerned,
that is to say that, the period of limitation would be deemed to have commenced from the
date when the copy of the arbitral award was received by the applicant and not from the date
when the application under Section 33 of the A & C Act, 1996 is disposed of as dismissed by
the arbitral tribunal.
A bare perusal of Damani Construction Co. (Supra) would show that, even if an application
is titled as an application under Section 33 of the A & C Act, 1996 but the same is beyond the
scope of Section 33 of the A & C Act, 1996, and is in fact in the nature of a review
application, then the period spent in the pendency of the application under Section 33 of the
A & C Act, 1996 will not be excluded for determining the limitation period for filing of
objections under Section 34 of the A & C Act, 1996.
For ready reference Para 8 and Para 9 from Damani Construction Co. (Supra) are extracted
here under-
“8. Firstly, the letter had been designed not strictly under Section 33 of the Act because
under Section 33 of the Act a party can seek certain correction in computation of errors, or
clerical or typographical errors or any other errors of a similar nature occurring in the
award with notice to the other party or if agreed between the parties, a party may request the
1
National Highway Authority of India V/s Prakash Atlanta JV, O.M.P. No. 186/2015, High Court of Delhi,
Date of Decision: 07.08.2015 (Coram: Valmiki Mehta, J.)
Bombay High Court decision in the matter of: Amit Suryakant Lunavat V/s Kotak
Securities, Mumbai, 2010 (6) Mh. L. J. 764, stands overruled:
In the matter of Amit Suryakant Lunavat (Supra) it was observed that-