Unreasoned arbitral award section 311 in this case, the petitioners filed for setting aside the award under section 34 on the ground that the award passed by the arbitral tribunal is an unreasoned award and liable to be set aside in view of the provision under section 311 of the act. Miscellaneous civil application 32 of 2016 kenya law. Public policy and setting aside of arbitral awards. The singaporean courts interpret the statutory grounds for setting aside awards narrowly 1 and with strict scrutiny. The same philosophy was adopted in the indian context under section 34 of the act. The guide to challenging and enforcing arbitration awards. Recourse to a court against an arbitral award may be made only by an application for setting aside such award in accordance with subsection 2 and subsection 3. Setting aside not everyone takes defeat in their stride. In other words, if the grounds to set aside would not result in the set aside of the award pursuant to the law to be applied by the enforcement judge, then this arbitral award may be enforced. Particularly, the rules governing the setting aside of arbitral awards is inadequate to suit the demands of modern commercial arbitration. Pdf setting aside of arbitral awards under section34 of indian. Resisting enforcement of a foreign arbitral award under. Origin and current status of setting aside in international arbitration.
The aim of this article is to present the competent forums for setting aside an arbitral award within the legislation of kosovo and in accordance with the convention on the recognition and enforcement of foreign arbitral awards, new york 1958 convention and united nations commission on international trade law uncitral model law on commercial arbitration. So whenever an arbitral award goes against one of the parties to the dispute, he seeks ways of setting it aside. The new york convention itself does not define set aside and the process of setting aside an award is entirely. The grounds for setting aside arbitral awards are set out in the law of arbitration at the place of arbitration, the seat which establishes the. An example of the decisions referred to, above, is the hilmarton case. Setting aside an arbitral award in the peoples republic. In every arbitral proceeding, an arbitrator has to be appointed who finally makes an award which is called the arbitral award. It does so by identifying the various issues that arise out of an action for setting aside, such as the possibility of double control and conflicting decisions, the universal effect of a setting aside in the country of origin. The importance of this is emphasized by section 36 which provides that the award becomes enforceable as soon as the limitation period under section 34 expires. Setting aside arbitral award the arbitration act of 1940 provide three kinds of remedies against srbitral awards namely, rectification, remission and setting aside of the arbitral award.
This is based on the fact that the section 36 cited relates to recognition and enforcement of arbitral award and not the setting aside. That is, the only place where an arbitration award may be set aside or invalidated is at the place where the award was issued. Court of appeal upholds setting aside of arbitral award. Suspension of enforcement proceedings pending the setting aside of the award viii. Uncitral secretariat, vienna international centre, p. Thus, improving the recourse of setting aside would be very decisive to ensure that commercial arbitration in ethiopia flourishes.
Set aside an arbitral award, set aside an international arbitral award, spain madrid high court of justice and the setting aside of arbitral awards alessandro spinillo independent lawyer spainargentina september 11, 2018 september 12, 2018 1 comment. Once an award is pronounced, a losing party has a statutory right under section 34 of the arbitration and conciliation act, 1996 act to challenge it within a defined period. In this paper, i shall analyze a trail of indian judicial decisions on public policy and argue that a restrictive. A settingaside regime that requires the supervisory court to focus on the sometimes narrow dividing line between the merits and the processin a context in which the applicant has every interest in encouraging the court to stray onto the wrong side of the lineruns the risk of generating unmeritorious applications where the applicants. Apart from a possible appeal, a party may apply to set aside an arbitral award. In assessing whether to set aside the arbitral award and remove the arbitrator, the court outlined the following key principles. Atapattu soul enterprises v janashakthi general insurance co ltd in this case see pdf, the sri. Thus, an arbitral award may be set aside on the grounds specified in s. But the most important type of challenge of an arbitral award by far is an action to set aside conducted before a court in the place of arbitration. The purpose of setting aside is to modify in some way the award in part or wholly. On 1 march 2018, the court of appeal upheld the high courts decision and its reasons, maintaining the setting aside order. Competent forums for setting aside an arbitral award in. Claims that an arbitral tribunal failed to deal with an. It engages intriguing questions of arbitral and international investment law which have yet to be considered by a singapore court.
The indian position on public policy as a ground for setting aside an arbitral award befits the aforementioned quote. However, the grounds for setting aside an award are not limited to those listed in art. Pdf setting aside of arbitral awards under section34 of. Article 34 of the uncitral model law significantly limits the circumstances under which a court may set aside an arbitral award. In the absence of provisions in the arbitration and conciliation act, 1996, foreign arbitral awards may be setaside in the country in which or under the laws of which such award was made. The grounds in article v2 can be examined ex offcio, and therefore can be examined even if the request for enforcement is unopposed they are. Enforcement of arbitral awards set aside at the seat of. When will a court set aside an arbitral award and remove. Public policy and setting aside patently illegal arbitral.
The enforcement of awards set aside in the country of origin. Setting aside or nonenforcement of arbitral awards in. The court refused to set aside an award against sino dragon on grounds of. Presumably, if the arbitral tribunal believes that it has no jurisdiction. Correlation between setting aside and enforcing arbitral. The court examined the orders that it was entitled to make after the setting aside of an arbitral award, in particular, whether it could refer matters back to the same or a new tribunal.
A party that is aggrieved by an arbitral award can apply to the high court to set aside the award within three months of the date of the award or after the correction of the award. Rather than setting aside the arbitral award, the court stated that the. An ambiguity of legal interpretation is a topic of sincere concern and relevance in. Setting aside and consequential orders introduction arbitration of commercial disputes is a common alternative to litigation, but parties still have recourse to the courts when challenging an arbitral award. Enforcement of arbitral awards and decrees in india. Setting aside or nonenforcement of arbitral awards in international arbitration on the public policy ground a regional perspective john k arthur owen dixon chambers introduction an award in international commercial arbitration ica is only liable to be set aside, or refused recognition or enforcement, on the grounds contained in arts. An award can be set aside only on the grounds mentioned in section 34 of the act. Like the arbitration acts of most other countries, the chinese arbitration act gives courts the option to remit a case to the arbitral tribunal for rearbitration during proceedings to set aside an award.
Introduction public policy is a very unruly horse, and when once you get astride it you never know where you are going. The law in relation to setting aside or nonenforcement of an arbitral award on the public policy ground and for breach of the principles of natural justice has recently been clarified in so far as australia is concerned by the decision of the full federal court in. The rule is firmly estab lished and its scope today is perfectly clear. The grounds for setting aside an arbitration award are limited and welldefined, standing in stark contrast to the winners ability to enforce an award around the world. The case of baz v bba is a rare example of a successful application to set aside a portion of a singaporeseated international arbitration award on the basis that. There are different kinds of challenges of international arbitration awards.
What are the grounds on which awards are most often set aside. I have already ruled on this issue by observing that, indeed there is no legal requirement under section 363 of the arbitration act to provide the subject documents. Setting aside an arbitration award by fernando leila. This is one of the chapter of jurisprudence interpretation and general laws of cs. In the report of the united nations commission on international trade law on international commercial arbitration, it is stated that the issues relating to setting aside or annulment of arbitral awards are amongst the most difficult ones to be settled in the model law. In a recent set of decisions, the singapore court of appeal. Analysis of section 34 of the arbitration and conciliation. Set aside an international arbitral award archives. Setting aside and recognition and enforcement of an award differ in the following respects. Challenging an arbitral award on jurisdiction under uae law.
Article 52, section 5 and the convention as a whole. Setting aside as ground for refusal of enforcement of a foreign award. An evaluation of section 34 of the arbitration and. Convention on the recognition and enforcement of foreign. Not sufficient for setting aside an arbitral award 1.
The model law was based on the philosophy of limited grounds for setting aside arbitral awards at the legal seat of arbitration and the grounds are almost identical to those of the new york convention for refusal to recognise or enforce foreign awards. Setting aside proceedings including confidentiality issues iv. Introduction most contracts tend to veer toward arbitration as a dispute resolution mechanism. Arbitration and conciliation act, 1996 bare acts law. Arbitration award and setting aside of award under the.
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