SETTING ASIDE AN ARBITRAL AWARD UNDER SECTION 34, ARBITRATION & CONCILIATION ACT, 2019

Arbitration is a means of resolving disputes quickly and without much litigation. The Arbitration and Conciliation Act, 1996, along with its amendments in 2015 and 2019, provide under Section 34 the grounds for challenging arbitral awards and the procedure to do so. These grounds include incapacity of the parties, procedural unfairness, contrary to public policy, and awards outside the scope of arbitration. The challenges must be made within an extremely short time of three months, which can be extended by a further 30 days, thus ensuring swiftness. The aim of amendments is to facilitate efficiency and at the same time naturalizes judicial control, while the court should not interfere with awards simply on the grounds of factual or legal errors. Overall, the framework creates a balance between the finality related to the arbitral aspect and the other fair and due process considerations in the resolution of disputes.