10 January 2022, Monday

2 years ago

Supplying a copy of the award to the lawyer does not start the limitation Section 34 (3) ACA for filing setting aside application: Jharkhand High Court

16 December 2021| State of Jharkhand and others v. Maya Devi and others | Arbitration Appeal No. 13 of 2007 | Anil Kumar Choudhary J | Jharkhand High Court

Section 34 (3) ACA sets out the limitation for applying to set aside an award. The limitation period begins to run from the “date on which the party making that application had received the arbitral award”. In an arbitration, a copy of the award was served on the lawyer representing the State. Did the limitation period begin to run? The set-aside court thought so and dismissed the State’s application as time-barred.

But following Tecco Trichy (2005) 4 SCC 239, the Jharkhand High Court restored the set-aside application.

In Tecco, the Supreme Court ruled that the “party” in cases involving large organizations like the Railways would be “person directly connected with and involved in the proceedings and who is in control of the proceedings before the arbitrator.”

Read the decision here.


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