International Arbitration 1

FRAME WORK

International Arbitration frame

Work is created to find a Global
Uniform mechanism that reduces
the complexities of regular court
Procedure but culminates more
efficient Enforcement mechanism.

Global enforceability is achieved by

New York Convention on the
Recognition and Enforcement of
Foreign Awards 1958
(163 Countries)

Uniformity is achieved by
UNCITRAL Model Law Model Law
On International Commercial
Arbitration ,1985

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 INTERNATIONAL ARBITRATION CLAUSE 2

Seat of Arbitration 01 Number of Arbitrators 06

The Parties can choose Parties may choose one or
any place as the seat of three arbitrators and
Arbitration. incorporate in the
contract.

Arbitral Institution 02 Language of Arbitration 05

It is advisable to specify Parties should specify the
the Arbitral Institution to language of arbitration to
administer the arbitration avoid the application of
default language.

Substantive Laws 03 Law governing Arb Agreement 04

The Parties can choose Parties may choose the
any law including a law governing the
neutral law as the arbitration agreement.
substantive law of the
arbitration.
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 India Seated International Arbitrations 5

Speaker S Ravi Shankar

Procedural
Law
New York
Convention
Appointme
nt of
. Supervising
Arbitrators
. Courts

Finality of
Awards
. Enforcemen
. t of Awards

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 ADHOC / INSTITUTIONAL ARBITRATION 6

Clause
Parties shall resolve their disputes by way of arbitration .

No Arbitral Institution No Arbitration Rules Fees

The Arbitral process shall Mostly in such cases, Arbitrator Fees may be
be managed by the Parties/ arbitrator shall guided by the fee
Arbitrator only decide the Rules of schedule provided in the
Arbitration Act

Appointment of Arbitrator
If one party fails to honour its obligation to appoint or Sole arbitrator shall be appointed by Supreme
Court of India .
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 Procedural Law of Indian Seat 7

Seat determines procedural law

Arbitration Act, 1940

1940 Pre Model Law legislation. Huge delays & continuous
court interferences frustrated the parties

Arbitration and Conciliation Act,1996

2018 Enacted in the lines of UNCITRAL Model Law .

Arbitration and Conciliation (Amendment Act) 2015

2019 Brought in timelines, Transparency and reduced
interference by Courts .

Arbitration and Conciliation (Amendment) Act 2019

2020 Institutional Arbitration & Qualifications for Arbitrators

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 APPLICABLE LAWS & SEAT 8

Arbitration and Conciliation Limitation Act, 1963 is

Act,1996 . applicable. Limitation for
disputes arising out of
contract in India is three
years from the date of cause
PIE of Action

CHART
TITLE
Applicability of Code of Civil Contract Act, Partnership
Procedure and Evidence Act Act, Companies Act, Specific
are expressly excluded . Relief Act etc,.

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 Special Features of the Procedural Law 9

As Amended

Independence & Impartiality

of Arbitrators Time lines
Mandatory declaration Time lines prescribed in
by Arbitrators in line all stages of Arbitration
with IBA Rules on Process
Conflict of Interest .

Interim orders in support of Delegation of Court Powers

Foreign seated Arbitrations To Arbitral Institutions
Courts can pass interim High Court can delegate
orders in support of powers to appoint
Foreign seated arbitrators to
Arbitrations . Institutions to appoint
Arbitrators
Enforceability of Interim orde
duced Scope of Public Policy Passed by Arbitrators
Public Policy cannot Interim orders Passed
lead to re-appreciation under S.17 are
of Merits . enforceable like Court
orders .

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 ARBITRAL INSTITUTIONS 10

01 02 03 04 05

NO BAR Registration Indian Arbitral Institutions Adhoc Arbitrations Qualifications

Any Foreign Arbitral Arbitral Institutions There are many 80% of the Certain
Institution can have to be efficient Indian Arbitral Arbitrations in India Qualifications for
administer Registered with Institutions in India are Adhoc Arbitrators are
Arbitrations seated High Courts / including DIAC, ICA, Arbitrations. prescribed in the
in India Supreme Court . MCIA, IDAC India etc., Act.
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 SUPERVISING COURTS 11

HIGH COURTS

APPOINTMENT Interim orders Removal of Arbitrators Challenge to an Award

S.11. Power to S.9. Courts in India S.14. If Arbitrators are Courts cannot go into
appoint Sole are fast and efficient disqualified to be the merits or the
Arbitrator is with the in granting interim arbitrator under case, perversity is a
Supreme Court of orders in pre- Schedule V. main ground on
India /Institutions . arbitration & Post which awards are set
arbitration stages aside.

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 OTHER ADVANTAGES OF INDIA SEAT 12

WRITE YOUR SUBTITLE HERE

One Sided
Arbitration
Agreements are
not enforceable
in India

MANDATORY
CONFIDENTIALIT
PREDEPOSIT
Y OF ARBITRAL
PRIOR TO
PROCEEDINGS
CHALLANGE.

INDIA SEAT

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 I recommend India seat Because 13

NEW YORK FOREIGN

MODEL LAW COUNTRY CONVENTION TIME LINES INSTITUTIONS PRE-DEPOSIT
Since we follow New York Convention Speedy Conclusion of Unlike China, India Mandatory Pre-
Model Law, parties supports Award Arbitration ensured allows Foreign deposit of award
from Foreign arising out of India by law . Arbitral Institutions amount forces
Countries can Seat to Administer parties to avoid
understand the unnecessary
process challenge.

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 International Arbitration
FRAME WORK

International Arbitration frame

Work is created to find a Global
Uniform mechanism that reduces
the complexities of regular court
Procedure but culminates more
efficient Enforcement mechanism.

Interim Protection is necessary to:

• Avoid frustration of awards

• Avoid third Party interests

• To avoid irreparable loss

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 Courts & Awards 1

Grounds Nature Courts Powers Scope of S.34

S.34 grounds are similar S.34 Proceedings are not Are restricted to the Has different approaches
to Article 34 of UNCITRAL Regular Civil Appeals grounds specified in S.34 to domestic awards and
Model law of the Act. awards arising out of
international Commercial
Arbitration

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 Requirements to Challenge an Award under S.34 2

S.34 Application
The only recourse to challenge the award is filing
an application under S.34 of the Act .

Within 120 days from the Date of Receipt of the Award

The Limitation is three months plus one month for
special reasons. Limitation starts from delivery of
the award
Establishing on the basis of record of the Arbitral Tribunal
Parties cannot go beyond the Arbitral records to
prove their challenge to an Arbitration award.

Time Limit for disposal of S.34 application

Within one year from the date of receipt of notice
by the other party.

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 Grounds of Challenge 3

S.34 (2)(a) of Arbitration and Conciliation Act,1996

Incapacity Invalidity Notice

If any of the party was under some in Invalidity of the arbitration agreement No proper notice to a party/ unable to
capacity.S.34(2)(a)(i) under the procedural law. S.34(2)(a)(ii) present the case S.34(2)(a)(iii)

Award beyond submission Composition of AT

Arbitral award is beyond the If composition of the tribunal was not
submission of parties S.34(2)(a)(iv) according to the agreement
S.34(2)(a)(v)

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 Arbitrator is the final Authority for 5

1 2 3 4

Interpretation of Contract Facts Interpretation of law Plausible view

Arbitrator is the final authority for Arbitrator is the final authority for Arbitrator view is final if a legal If the view taken by the arbitrator is
interpretation of contract the facts of the case. question was referred to him a plausible view court should not
interfere.

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 When award can be set aside? 6

1 2 3 4

Perversity Technical grounds Ignoring the Contract Public Policy

If the findings of the arbitrator is Incapacity, improper notice, beyond If the Arbitral tribunal ignores the Public Policy as explained by the
perverse. reference, arbitrability, AT formation contract provisions of the contract Courts in India.
ignoring contract. between parties.

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 Fundamental Policy of Indian Law 7

Legal compliance Judicial approach Natural Justice Wednesbury Judicial Morality

Award should be Award should be fair, Following the reasonableness Following Judicial
compliant with reasonable and fundamental rules of Perversity. Finding Approach to the
statutes and Judicial objective. natural justice. on no evidence or disputes.
precedents. irrelevant evidence
or ignoring evidence

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 Patent Illegality 8

Substantive Law
Award should not violate any substantive law of the
country.

Procedural Law
Award should not be violative of Arbitration and
Conciliation Act,1996.

Contract
Award should not be violative of the contract
provisions

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 Online Arbitration
Under IDAC India Rules

Increasing International Trade

Globalization of business has
increased the requirement of
less cost dispute resolution to
help the small and medium
enterprises. One of the
emerging dispute resolution
method is “Online Arbitration”

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 Development of Arbitration

1958 1985 1996 2020

New York Convention 01 UNCITRAL Model law 02 A & C Act,1996 03 Online Arbitration 04
.

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