Courts Can’t Relegate Parties To Arbitral Tribunal After Having Set Aside The Award

The Supreme Court, in Kinnari Mullick vs. Ghanshyam Das Damani, has held that Section 34 (4) of the Arbitration and Conciliation Act 1996, does not empower the court to relegate the parties before the Arbitral Tribunal after having set aside the arbitral award in question.

A three judge bench of the apex court headed by Justice Dipak Misra held that the limited discretion available to the court under Section 34(4) can be exercised only upon a written application made in that behalf by a party to the arbitration proceedings and the court cannot exercise this limited power of deferring the proceedings before it suo motu.

Article referred:http://www.livelaw.in/courts-cant-relegate-parties-arbitral-tribunal-set-aside-award-sc-read-judgment/

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