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2024 Supreme(Online)(KER) 35347
HIGH COURT OF KERALA
VIJU ABRAHAM, J
MURALEEDHARAN K.G – Appellant
Versus
MABEN NIDHI LTD – Respondent
OP(C) 1451/2023
K.M.MUHAMMED HUSSAIN, MANUMON A., Unniraj VB, M.C.BINDUMOL(K/2452/1999), K.SEEMA(S-1334), P.ANITHA(K/76/2011)
Compliance with Section 31(5) of the Arbitration and Conciliation Act, 1996 is essential for the validity of execution proceedings.
Headnote:(A) Arbitration and Conciliation Act, 1996 - Section 31(5) - Challenge to proceedings of the IInd Additional District Court regarding non-compliance with the requirement to deliver a signed copy of the arbitral award to each party - Petitioner contended that no orders were passed on the execution application filed - Respondents claimed compliance with the delivery requirement. (Paras 2-4)
(B) Execution Petition - The court directed the II Additional District Court to dispose of the execution application on merits after hearing both parties, ensuring that all further proceedings are initiated only after the disposal of the application. (Paras 4-5)
Facts of the case:
The petitioner challenged the proceedings of the IInd Additional District Court regarding the delivery of the arbitral award copy, asserting violation of Section 31(5) of the Arbitration and Conciliation Act, 1996.
Findings of Court:
The court directed the II Additional District Court to dispose of the execution application EA No.159/2020 on merits after hearing both parties.
Issues: The main issue was whether the petitioner received a signed copy of the arbitral award as mandated by Section 31(5) of the Arbitration and Conciliation Act, 1996.
Ratio Decidendi: The court emphasized the necessity of compliance with the statutory requirement of delivering a signed copy of the arbitral award to each party and directed the lower court to address the execution application on its merits.
Result: Original petition disposed of accordingly.
Petitioner has approached this Court challenging Ext.P5 proceedings of the IInd Additional District Court, Thrissur dated 14.3.2023 in EP 233 of 2019 in ARC No.120/2016 stating that a copy of the award was furnished and ordering that the judgment debtor is entitled to take copy from the office and he can file an appeal if he so desires.
2. The specific case of the petitioner is violation of Section 31 (5) of the Arbitration and Conciliation Act 1996 which mandates that after the arbitral award is made, a signed copy shall be delivered to each party. The contention raised by the petitioner is regarding non-compliance of (5) of the . Thereupon, he has filed a petition as EA No.159/2020 in EP No.233/2019 in ARC No.120/2016 to hear the maintainability of the execution petition as a preliminary issue, but petitioner contended that no orders have been passed on the execution application filed as EA No.159/2020.
3. The learned counsel appearing for the respondents brought to my notice Ext.P4 objection filed by the respondents to the said execution application wherein it is specifically averred that a copy of the award has been sent to the petitioner on 18.11.2016 and the postal receipts and the acknowledgment card were produced along with the objection and that the contention of the petitioner based on Section 31 (5) of the Arbitration and Conciliation Act , 1996 is unsustainable.
4. A report was called for from the court concerned regarding the present status of EA No.159/2020 wherein it is reported that the Execution Petition was closed on the basis of the interim order passed in the present original petition with an observation that the same could be revived by filing a memo after vacating the interim order. It is also stated that EA No.159 of 2020 will be disposed of without any delay.
After hearing both sides, I am inclined to dispose of the original petition with a direction to the II Additional District Court, Thrissur to dispose of EA No.159/2020 in EP No.233/2019 in ARC No.120/2016 and dispose of the same on merits after affording an opportunity of being heard to the petitioner as well as the respondents. All further proceedings in the execution petition shall be initiated only after the disposal of EA No.159/2020.
The above original petition is disposed of accordingly.
