Courts Can Partially Set Aside An Arbitration Award, Doctrine Of Severability Is Enshrined Under Section 34 Of The A&C Act: Delhi High Court
1 year, 7 months ago

Courts Can Partially Set Aside An Arbitration Award, Doctrine Of Severability Is Enshrined Under Section 34 Of The A&C Act: Delhi High Court

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The Delhi High Court has held that the Courts exercising powers under Section 34 of the A&C Act has the power to partially set aside an arbitration award to strike off the offending portion of the award while retaining the remaining award. The Court taking note of the nature of the relief sought and the decision of the Supreme Court in M. Hakeem wherein it was held that it is impermissible to modify an arbitration award, published a notice calling upon learned counsels from the bar to make submissions in respect of power of Court to partially set aside an arbitration award and the scope of Section 34 of the Act. Section 34 explicitly confers power on the Courts to partially set aside an arbitral award, therefore, the offending part of the award may be severed without the same having any further effect on other findings, the Court may set aside only that offending portion. Analysis by the Court The Court held that the Courts exercising powers under Section 34 of the A&C Act has the power to partially set aside an arbitration award to strike off the offending portion of the award while retaining the remaining award.

History of this topic

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