The court can grant an extension of time for arbitral proceedings if it is satisfied that the delay was due to circumstances beyond the control of the arbitral tribunal, as provided under S.29A of the Arbitration and Conciliation Act, 1996.

ORDER :

By way of instant petition filed under S.29(A)(5) of the Arbitration and Conciliation Act, 1996 (hereinafter ‘Act’), prayer has been made on behalf of the petitioner to extend the time to conclude arbitral proceedings.

2. No reply is intended to be filed on behalf of the respondents. Learned counsel for the respondent fairly state that the prayer made in the instant petition can be allowed.

3. Having heard learned counsel for the parties and perused the material available on record, this court finds that the land and building situate over Khewat No. 04, Khatauni No. 333, Khasra No. 779/3871 situate at Mohal Chamukha Hadbast No. 41, Tehsil Sundernagar, District Mandi, came to be acquired by respondent No.1 for construction/widening of NH 21, but since the petitioner was not satisfied with the amount of compensation determined by respondent No.1, he preferred a petition under S. 3(G) 5 o 7 of the National Highways Act, 1956 before learned Divisional Commissioner, Mandi, praying therein for enhancement of the compensation awarded by respondent No.1 (Annexure P-1). Pursuant to notices issued in the petition, respondents filed reply on 22.7.2019 and matter was fixed for further proceedings, (Annexure P-2). Since the arbitral tribunal has been not able to conclude the proceedings within the stipulated period of 12 months, petitioner has approached this Court in the instant proceedings for extension of time.

4. S.3(G) (6) of the National Highways Act, 1956 provides that the provisions of Arbitration and Conciliation Act shall apply to every arbitration under the Act and as such provisions of Arbitration and Conciliation Act govern the arbitration proceedings conducted under the National Highways Act, 1956.

5. S.29A of the Arbitration and Conciliation Act, 2015 reads as under :

“29-A. Time-limit for arbitral award.- (1) The award in matters other than international commercial arbitration shall be made by the arbitral tribunal within a period of twelve months from the date of completion of pleadings under sub-section (4) of Section 23 :

Provided that the award in the matter of international commercial arbitration may be made as expeditiously as possible and endeavour may be made to dispose of the matter within a period of twelve months from the date of completion of pleadings under sub-section (4) of Section 23.]

(2) If the award is made within a period of six months from the date the arbitral tribunal enters upon the reference, the arbitral tribunal shall be entitled to receive such amount of additional fees as the parties may agree.

(3) The parties may, by consent, extend the period specified in sub-section (1) for making award for a further period not exceeding six months.

(4) If the award is not made within the period specified in sub-section (1) or the extended period specified under sub-section (3), the mandate of the arbitrators shall terminate unless the court has, either prior to or after the expiry of the period so specified, extended the period :

Provided that while extending the period under this sub-section, if the court finds that the proceedings have been delayed for the reasons attributable to the arbitral tribunal, then, it may order reduction of fees of arbitrators by not exceeding five percent for each month of such delay:

[Provided further that where an application under sub-section (5) is pending, the mandate of the arbitrator shall continue till the disposal of the said application:

Provided also that the arbitrator shall be given an opportunity of being heard before the fees is reduced.]

(5) The extension of period referred to in sub-section (4) may be on the application of any of the parties and may be granted only for sufficient cause and on such terms and conditions as may be imposed by the court.

(6) While extending the period referred to in sub-section (4), it shall be open to the court to substitute one or all of the arbitrators and if one or all of the arbitrators are substituted, the arbitral proceedings shall c