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IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
Avneesh Jhingan, J.
Rajesh - Appellant - Appellant
Versus
Shriram Transport Finance Company Limited and another - Respondents - Respondent
FAO No.2956 of 2017 (O&M)
Decided On : 05-05-2023
Arbitration - Dismissal of Objections - Signed Copy of Arbitral Award Not Supplied
Fact of the Case:
The appellant availed a loan facility from respondent No.1 with terms for dispute resolution through arbitration. An ex parte award was issued, and the objections filed by the respondent were dismissed as time-barred.
Finding of the Court:
The court found that the appellant was not served with the notice for arbitration nor received the signed copy of the arbitral award. It was observed that the Arbitrator is obliged to supply the signed copy of the arbitral award to each of the parties, as per Section 31(5) of the Act. The appeal was allowed, the impugned order was set aside, and the matter was remitted back for deciding the objections on merits.
Issues: Dismissal of objections as time-barred, failure to supply signed copy of arbitral award
Ratio Decidendi: The court's decision was influenced by the obligation of the Arbitrator to supply the signed copy of the arbitral award to each party, as per Section 31(5) of the Act.
Final Decision: The appeal was allowed, the impugned order was set aside, and the matter was remitted back for deciding the objections on merits.
AVNEESH JHINGAN, J.
1. This appeal under Section 37 of the Arbitration and Conciliation Act, 1996 (for short ‘the Act’) is filed aggrieved of dismissal of objections as time barred.
2. The facts in brief are that the appellant availed a loan facility from respondent No.1. The terms and conditions provided for dispute resolution through arbitration. The arbitration proceedings initiated at the instance of respondent No.1 culminated in an ex parte award dated 05.03.2014. The objections filed by the respondent on 29.01.2015 were dismissed as time barred on 19.04.2017, hence the present appeal.
3. Learned counsel for the appellant submits that the appellant was neither served with the notice for arbitration nor had received the signed copy of the arbitral award. It is further argued that during execution proceedings, appellant gained knowledge of an ex parte award and immediately filed objections.
4. Learned counsel for respondent No.1 defends the impugned order.
5. Heard learned counsel for the parties and perused the record.
6. Section 31(5) of the Act provides that the Arbitrator is obliged to supply the signed copy of the arbitral award to each of the parties.
7. From the perusal of the record it is forthcoming that there is nothing on record to prove that the signed copy of the arbitral award was supplied to the appellant. The appeal is allowed. The impugned order is set aside, the matter is remitted back for deciding the objections on merits.
8. Since the main case has been decided, the pending application(s), if any is rendered infructuous.
Appeal allowed.
The obligation of the Arbitrator to supply the signed copy of the arbitral award to each party, as per Section 31(5) of the Arbitration and Conciliation Act, 1996.
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