« , Q. 7. Who can enter into Arbitration Agreement ? Ans. Every person who is competent to contract can enter into arbitration agreement. In case of partnership a partner can enter into on behalf of partnership into arbitration agreement, The directors or other officers Of the company may enter into an arbitration agreement. A Karta of Hindu joint family can make a valid reference ty y, arbitration and where he acts Bonafide the award binds other member, (A) Minor and lunatics - contract by minors and Junatics arc void and therefore by themselves cannot enter into valid agreement of arbitration, however they can pi they arbitration agrecment with their natural or legal guardian's, T inte (B) Agent - Agent recognised agent of a party can enter into an aks agreement on behalf of his principal. arbitrationGH Manager of timadu joint family- ee ( the manager of Hindu joint family can refer the final dispute + ly A peed Ny arbitt > Case law - w Sadashiv Ramchandra Datar Vs. Trimbak Keshar AIR 1920 Bom this case Bombay high Court held that if a minor is not Properly 32, In and his guardians fails in this duty to Protect his interest , the 10d : Pot binding on minor. + re award ) @ Sunderlal Haveliwala Vs. Bhagwati Devi AIR 1967 All 400. in his 088 of dispute among the partners inter se, if the deed of Partnership we vides f0r Such disputes being referred to arbitration, a partner shall be aed to make reference to arbitration. (3) Punjab state electricity Board, Mahilpur Vs. Guru Nanak cold storage & ice factory, mahilpur & another (1996 (5) Scc. 411) (4) Punjab state electricity Board Vs. Bassi cold storage Kharar & another (1994 Sup (2) Scc 124). (3) Rohtas Industries Ltd. & another Vs. Rohtas industries staff union & others (AIR 1976 Sc 425). ~ Conclusion Every person who is competent to contract can enter into arbitration agreement. Minor and lunatics can enter into an arbitration agreement through their natural or legal guardian's . A manager of Hindu joint family can referred the family dispute to arbitration. 4 The power of the court or the Tribunal to grant interim measures it respect of the parties to the arbitral proceedings is a non-issue. The mor problematic issue is the power of the said adjudicatory authorities to gran interim measures under the Act in respect of non-signatories to the arbitration agreement,Reference to Arbitration Section-4 of The Arbitration and Conciliation Act, 1996, deals with waive, of right to object. This Section provides that a party who knows that. (a) Any Provision of this part from which the parties May derogate, or (b) Any requirement under the arbitration Agreement, has not bee, Complied with and get proceeds with the Arbitration without stating objection to. such non complicance without under delay or if a time limit i; provided for stating that objection, with that period of time shall be deemej to have waived his right to so object. Eee It is a newly incorporated provision of the Act of 1996. The Arbitration Act, 1940 had no such analogous provision. Sec-3 of the Arbitration and Conciliation Act 1996 is similar to Article 4 of the Model law. It is based on Article 30 of UN Commission on Trade Law Arbitration Rules. : Where it apperars to the Arbitral tribunal ‘that the party had actual or Construction Knowledge of the rights facts or Circumstances on which a objection could be raised during to abitral proceedings and the party still keep. Quiet and Submitted to the proceedings and allowed the award to be made then it will be precluded from raising such objection Consequent to the filing of the award. > Section-4. of the Act Provides that if the parties knew the compulsory 1 J ¢ { taN —_—_———— SUSNEuErEETenEeee Ne ———— Compulsory ¢ ‘onditions necessary under the Arbitration Agreement rather Cy becn complied and even though they did not object within which Me and showed no intention to submit x a a 5 Tin, Presorhe’ but give their Consent to proceed with Arbitration proceedings Wa, Oby aid that party has waived his right to object oan BE It can ples of waiver is reference to the Arbitration law has been ‘ TH pareiwe Indian Courts on many occasion- (Indrajit Singh Vs ™ ranean Baig. 1979) jal Conditions of Waiver of Right to popes- ao re the Conditions necessary for waived of right of object The Following oe Conciliation Act, 1996, These are as follows. aor the Arbitration and : uni }) The Party has knowledge of non- fulfillment of conditions necessary { y under and Arbitration Agreement. i (2) The party Voluntarily gives up his right. He ; / (3) The party has not Submitted its objection within the prescribed time limit as provided in Arbitration Agreement. ; : (4) The party have given up his known right, intentionally. (5) The party should have not submitted to himself to arbitration under protest Under the provisio! of the right to object. ns of Sec, 4 there are four pre-conditions for waiver . 2 © Non-Compliance of | Knowledge of Proceeding ‘Failure to State _ Anon-Mandatory Non- Compliance with = * objection 1 Provision of the Act or the arbitrations without delay Arbitration Agreement + Case Laws:- Certain illustrative Case where waiver was hold to have taken place. In Kripa Sindhu Biswas Vs. Sudha Sindhu Biswas 1973. Facts:- A dispute was referred without intervention of Court to their arbitrators under Arbitration, Agreement. After the hearing was. concluded, all of the three aoe died only two remaining arbitrors, then made the award before the a ; i teat ie arbitrator the parties had entered in to an agreement providing ae ee the arbitrators became incapable of acting, the unanimous award ‘aining two arbitrators would be binding on the parties. yJudgement :- It was held that the award was to be made by the arbitrators was waived by the parties when they entered in to a rec, agreement providing that award by two arbitrators would be binding. (2) In R.C, Bhalla Vs. M.C. (Bhalla, 1996.) Both the parties to an arbitration procecdings in relation to a disp, regarding distribution of assets, participated in the proceedings. The partics argued in all questions is issue and also participated in t division of assets. One of the parties was there after not permitted to raise , objection before the court. That the question of division of Assets a Liabilities was beyond the Scope of reference. IN JngMohan Vs. Suraj Marain, 1935. An Objection was taken against the award that there had been no Prop refunce to arbitration in as much as there was no written application as requir; by Paragraph of schedule II. (PC). And also because the matters in differen, which the arbitration was. Required to determine were not clearly set for. Judgment- It was held that when the arbitrator having no Jurisdiction to proceed wit the matter The applicant took his chance before. The arbitrator and the awar having gone against him he could not be Permitted to raise that objection 4. In Hindustan Constructions Co. Ltd. Gouerve of Orrissa, 1995 Conclusion:- If any irregularity comes to the Knowledge of a Party at the time o reference, he must State his objection in his Pleading before the arbitral tribunz and then proceed with the arbitral proceedings. In case where the irregularities comes to the knowledge of a party doing the Arbitration Proceeding, Bu before the award is made, he must State his objection with & then colittime ‘With the proceeding. But if a Party comes to Know about, the j; rity afte: the making of the award, the provision of Section 4 are not attracted mega d eat ; However the Can file an application under Section 34 of the i : the award = ee ane