When Parties Agree For No Interest Payable Till Arbitral Award Is Made, Arbitrator Bound By This Agreement: Delhi High Court
1 year ago

When Parties Agree For No Interest Payable Till Arbitral Award Is Made, Arbitrator Bound By This Agreement: Delhi High Court

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The Delhi High Court single bench of Justice Prateek Jalan held that when parties agree that no interest shall be payable, the Arbitral Tribunal is bound by that agreement. Brief Facts: The Petitioner challenged an Arbitral Award, specifically contesting the portion wherein the Arbitrator granted interest on the Respondent's recovery claim against outstanding bills. The Arbitrator in that case awarded interest, but the decision was set aside by the High Court and subsequently upheld by the Supreme Court. Therefore, the High Court held that when parties agree that no interest shall be payable, the Arbitral Tribunal is bound by that agreement.

History of this topic

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