Arbitrator's Fees : If There Are HC Rules, They Should Apply; 4th Schedule Can Be A Default Provision, Supreme Court Says During Hearing
2 years, 11 months ago

Arbitrator's Fees : If There Are HC Rules, They Should Apply; 4th Schedule Can Be A Default Provision, Supreme Court Says During Hearing

Live Law  

The Supreme Court on Thursday continued the hearing on the issue of fixation of standards for fees for arbitrators. Submissions Of Counsels 4th Schedule Yardstick or Template By Which Domestic Arbitration Which Is Commercial In Nature Should Continue; Ceiling Of 30 Lakhs To Be Applied Entirely To The Table; Claim and Counterclaim Should Be Aggregate; 4th Schedule Fees Is Separate For Separate Arbitrators: AG KK Venugopal AG KK Venugopal commenced his submissions by referring to section 11 of the Act which empowers the High Court to frame the rules as may be necessary for determination of the fees of the arbitral tribunal and the manner of its payment to the arbitral tribunal after taking into consideration the rates specified in the Fourth Schedule. AG further argued that claim and the counterclaim have to be bundled together with a ceiling of Rupees 30 lakhs for the determination of fees as per the 4th Schedule of the Arbitration Act. Reliance was also placed by AG on the Delhi High Court's judgment in Rail Vikas Nigam Ltd. vs Simplex Infrastructures Ltd. "Basis of arbitration where your lordship is noting as to what has been happening on ground. Absence Of Comma Should Not Make Difference As Object Of Cap Of 30 Lakh Was To Reduce Cost Of Arbitration; CAP Was Intended To Be On Ceiling Which Was Overall Chargeable; Section 38 Is Intended To Be Used At Outset & Not Periodically: SG Tushar Mehta Solicitor General Tushar Mehta on whether the ceiling of 30 lakhs in the sixth item in Schedule IV, is only referable to the second part or to the total, submitted that the absence of comma in the English version should not make a difference as the object of the Cap of 30 lakh was to reduce the cost of arbitration.

Supreme Court Arbitration English Court Fees Schedule Rules Hindi Hearing High Ongc 1 Lakh Lakhs Arbitrators Ceiling 30 Lakh Tushar Mehta His Submissions 30 Lakhs 4Th Schedule 20 Crores  lakhs  fees  default  court  arbitrators  schedule  hc  supreme  provision  hearing  arbitration  high  rules  30  ongc  ceiling

History of this topic

Delhi High Court Sets Aside Claim Of Rs.15 Lakh Awarded By Arbitral Tribunal Due To Lack Of Evidence
3 months, 1 week ago

Delhi High Court Sets Aside Claim Of Rs.15 Lakh Awarded By Arbitral Tribunal Due To Lack Of Evidence

Live Law  

The Delhi High Court Bench of Justice Vibhu Bakhru and Justice Sachin Datta held that after persuading the Supreme Court to refer the disputes to arbitration, it is not open for the appellant to now question the validity of the reference. Thereafter, the appellant filed a suit seeking a decree of permanent injunction restraining the respondent from raising any illegal …

Delhi High Court Sets Aside Claim Of Rs.15 Lakh Awarded By Arbitral Tribunal Due To Lack Of Evidence
3 months, 1 week ago

Delhi High Court Sets Aside Claim Of Rs.15 Lakh Awarded By Arbitral Tribunal Due To Lack Of Evidence

Live Law  

The Delhi High Court Bench of Justice Vibhu Bakhru and Justice Sachin Datta held that after persuading the Supreme Court to refer the disputes to arbitration, it is not open for the appellant to now question the validity of the reference. Thereafter, the appellant filed a suit seeking a decree of permanent injunction restraining the respondent from raising any illegal …

Arbitrators Cannot Pass Binding And Enforceable Orders Unilaterally Determining Their Fees: Delhi High Court
3 months, 2 weeks ago

Arbitrators Cannot Pass Binding And Enforceable Orders Unilaterally Determining Their Fees: Delhi High Court

Live Law  

The Delhi High Court bench of Justice Dinesh Kumar Sharma has affirmed that Arbitrators do not have the power to unilaterally issue binding and enforceable orders determining their own fees. It was further submitted that in ONGC v. Afcons Gunanusa JV 2022 the Hon'ble Supreme Court has held that a party who is not agreeable to a unilateral revision of …

Arbitrators Must Separately Calculate Fees For Claims And Counterclaims In Ad Hoc Arbitration: Delhi High Court
7 months, 2 weeks ago

Arbitrators Must Separately Calculate Fees For Claims And Counterclaims In Ad Hoc Arbitration: Delhi High Court

Live Law  

The Delhi High Court bench of Justice Jasmeet Singh has set aside computration of fee by an arbitration on the basis decision in Rail Vikas Nigam Ltd. vs. Simplex Infrastructures Ltd which was later set aside in ONGC Ltd. v. Afcons Gunanusa JV, 2022 LiveLaw 723. The final computation of the fee by the Arbitrator was based on the judgment …

Court Under Section 29A Of The A&C Act Would Not Consider Issue Regarding Fees Of Arbitral Tribunal: Delhi High Court
1 year, 8 months ago

Court Under Section 29A Of The A&C Act Would Not Consider Issue Regarding Fees Of Arbitral Tribunal: Delhi High Court

Live Law  

The High Court of Delhi has held the Court exercising power under Section 29A of the A&C Act, which provides for extension of time to conclude arbitral proceedings, is only concerned with the issue as to whether the arbitrator has acted with expedition in the matter and would not consider any issue regarding the conduct of the arbitration or the …

Award Of Costs By Arbitrator, Not Containing Quantification And Reasons, Is Arbitrary: Delhi High Court
2 years, 2 months ago

Award Of Costs By Arbitrator, Not Containing Quantification And Reasons, Is Arbitrary: Delhi High Court

Live Law  

The Delhi High Court has ruled that the mandate contained in Section 31 of the Arbitration and Conciliation Act, 1996, as per which an arbitral award shall state the reasons on which it is based, must pervade every aspect of the award, including the award of costs. The petitioner challenged the award of pendente-lite interest and costs of proceedings imposed …

Arbitral Fee Under The Fourth Schedule Of A&C Act, Supreme Court Settles The Issue
2 years, 3 months ago

Arbitral Fee Under The Fourth Schedule Of A&C Act, Supreme Court Settles The Issue

Live Law  

On August 30, 2022, the Supreme Court in the case of ONGC v. Afcons Gunanusa JV whilst dealing with critical issues pertaining to the interpretation of the Fourth Schedule to the Arbitration and Conciliation Act, 1996 and unilateral fixation of arbitral fee, emphasised on party autonomy in arbitration proceedings and crystalized the law relating to arbitrator's fees. The Court determined …

Arbitrators Fee Cap Is Rs 30 Lakhs, Ceiling Limit Applicable To Individual Arbitrators, Not Tribunal As A Whole : Supreme Court
2 years, 6 months ago

Arbitrators Fee Cap Is Rs 30 Lakhs, Ceiling Limit Applicable To Individual Arbitrators, Not Tribunal As A Whole : Supreme Court

Live Law  

The Supreme Court held that the ceiling of Rs 30,00,000 in entry at Serial No 6 of the Fourth Schedule of the Arbitration and Conciliation Act is applicable to the sum of base amount and the variable amount, and not just the variable amount.This means that the highest fee payable shall be Rs 30,00,000, the bench comprising Justices DY Chandrachud, …

Supreme Court To Fix Standards For Arbitrators' Fees; Reserves Judgment
2 years, 10 months ago

Supreme Court To Fix Standards For Arbitrators' Fees; Reserves Judgment

Live Law  

The Supreme Court on Wednesday reserved judgment on the issue of fixation of standards for fees for arbitrators. Submissions Of Counsels Parties Had Agreed That They Would Appoint Arbitrator Who Accepted Conditions Of Arbitration Clause; Arbitrator Fixing Fees Unilaterally Is Inappropriate; What Was In Mind Of Legislature Was Rs 30 Lakhs; Sum In Dispute Will Include Claim & Counter Claim …

High Pendency Of Arbitration & Commercial Cases : Supreme Court Asks Allahabad HC CJ To Devise Roadmap To Tackle Arrears
2 years, 10 months ago

High Pendency Of Arbitration & Commercial Cases : Supreme Court Asks Allahabad HC CJ To Devise Roadmap To Tackle Arrears

Live Law  

Being apprised of the burgeoning pendency in the execution proceedings of arbitral awards and applications to set aside award under Section 34 of the Arbitration and Conciliation Act, 1996, in the State of Uttar Pradesh, the Supreme Court, on Thursday, requested the Chief Justice of Allahabad High Court to constitute a committee of Judges to device a roadmap to tackle …

Arbitrators Raising Fees In The Middle Of Arbitration May Amount To Misconduct, Supreme Court Says During Hearing
2 years, 10 months ago

Arbitrators Raising Fees In The Middle Of Arbitration May Amount To Misconduct, Supreme Court Says During Hearing

Live Law  

The Supreme Court on Thursday continued hearing on the issue of fixation of standards for fees for arbitrators. For Determination Of Arbitrator's Fees Claim & Counterclaim Should Be Charged Separately; Legislature Has Been Very Conscious Since Its Mindfulness To Situation That Counterclaim Puts Separate Cause Of Action; There Has To Be Overarching Dignity Which Must Encompass Arbitration Proceeding & While …

Arbitrator's Fee : Claim & Counter-Claim Have To Be Bundled Up Together, With Rs.30 lakhs Ceiling, Says Supreme Court During Hearing
2 years, 11 months ago

Arbitrator's Fee : Claim & Counter-Claim Have To Be Bundled Up Together, With Rs.30 lakhs Ceiling, Says Supreme Court During Hearing

Live Law  

The Supreme Court on Wednesday resumed the hearing on the issue of fixation of standards for fees for arbitrators. Further, the SG made submissions on whether the model fee corresponding to the various slabs of the 'sum in dispute', as stipulated in Schedule IV of the 1996 Arbitration Act, would be for the whole arbitral tribunal or for each arbitrator. …

Arbitral Fee Under Fourth Schedule Based On Aggregate Value Of Claim & Counter-Claim : Delhi High Court
3 years ago

Arbitral Fee Under Fourth Schedule Based On Aggregate Value Of Claim & Counter-Claim : Delhi High Court

Live Law  

The Delhi High Court has observed that the term "sum in dispute" provided in the 4th Schedule to the Arbitration and Conciliation Act, 1996 has to be interpreted so as to include the aggregate value of the claims as well as counter claims.The High Court disagreed with the Arbitrator's view that the claims and counter-claims have to be assessed separately …

Delhi HC Refuses To Waive Costs Imposed On Officer Of Rajya Sabha Secretariat For Filing Frivolous Appeals [Read Order]
7 years, 3 months ago

Delhi HC Refuses To Waive Costs Imposed On Officer Of Rajya Sabha Secretariat For Filing Frivolous Appeals [Read Order]

Live Law  

The Delhi High Court has refused to waive the costs of Rs. 50,000 which it had imposed on the officer of the Rajya Sabha Secretariat for wasting "judicial time of three courts" by filing frivolous appeals.The Secretariat had to face the Court's ire in August this year for harassing an ex-employee for a paltry sum of Rs. 50,000 which it …

Delhi HC Refuses To Waive Costs Imposed On Officer Of Rajya Sabha Secretariat For Filing Frivolous Appeals [Read Order]
7 years, 3 months ago

Delhi HC Refuses To Waive Costs Imposed On Officer Of Rajya Sabha Secretariat For Filing Frivolous Appeals [Read Order]

Live Law  

The Delhi High Court has refused to waive the costs of Rs. 50,000 which it had imposed on the officer of the Rajya Sabha Secretariat for wasting "judicial time of three courts" by filing frivolous appeals.The Secretariat had to face the Court's ire in August this year for harassing an ex-employee for a paltry sum of Rs. 50,000 which it …

Delhi HC Imposes 50k As Costs For “Forum Hunting” By Filing Writ Petition Against Order Flowing From Arbitral Appeal [Read Order]
7 years, 7 months ago

Delhi HC Imposes 50k As Costs For “Forum Hunting” By Filing Writ Petition Against Order Flowing From Arbitral Appeal [Read Order]

Live Law  

The Delhi High Court on Monday levied costs of Rs. 50,000 on a private company which, it opined, indulged in “forum hunting” by filing a Writ Petition indirectly against an order delivered in an Appeal under Section 37 of the Arbitration and Conciliation Act.Justice Vibhu Bakhru reiterated that a Petition under Article 226 of the Constitution of India is not …

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