Termination Of Mandate Of Arbitral Tribunal Results In Waste Of Time, Resources And Money, Court Allowed Petition U/S 29A (4) And (5) Of Arbitration Act: Delhi High Court
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Termination Of Mandate Of Arbitral Tribunal Results In Waste Of Time, Resources And Money, Court Allowed Petition U/S 29A (4) And (5) Of Arbitration Act: Delhi High Court

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The Delhi High Court Bench of Justice Jasmeet Singh has held that the parties and the Arbitral Tribunal have invested a lot of time, effort and energy in the arbitral proceedings. Brief Facts: The present petition has been filed under Section 29A and of the Arbitration and Conciliation Act, 1996 read with section 7 of the Commercial Courts Act, 2015 seeking extension of the mandate of the Sole Arbitrator for a period of one year for concluding the arbitral proceedings and passing the arbitral award. Consequently, the parties were directed to file an application under section 29 A of the Act seeking extension of the mandate of the Sole Arbitrator..Observation of the court: The court observed that it is the case of the respondents that the extension under Section 29A of the Act should not be granted mechanically but only in cases where sufficient cause of delay in the arbitral proceedings has been shown. Also, the court relied on the judgment of Rohan Builders Private Limited v. Berger Paints India Limited, wherein the court relied upon the 176th Report of the Law Commission of India, and it was held that the termination of the mandate of the Arbitral Tribunal results in waste of time, resources and money for the parties.

History of this topic

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