Arbitral award
Manoj Pamul
(Querist) 14 December 2012
This query is : Resolved
Sir,
Pls guide me in the below mentioned problem.
My client's son had obtained a loan for purchasing truck from one finance company, the said truck had been hypothicated. That, all documents relating to loan and agreement were signed by my client and his son in the office of a dealer's office which is situated at the residence of my client i.e. 'Y' city. The company's main office is situated at 'X'. Accordingly My client's son became a borrower and my client became a co-borrower. The all transaction had taken place in the year 2008. Thereafter, my client's son had paid instalments regularly. However, in the year 2009, suddenly my client's son i.e. borrower died. Thereafter in the next month, my client had surrendered the said truck and settled the account. However, on 18.09.2012 my client got a notice of execution proceeding of arbitral award from the district court. Accordingly he appeared , and now it seems that the said finance company had made a claim with the Sole Arbitrator, in the city of 'X'. Again when I have gone through the award, it shows that, the sole arbitrator had sent 1st and 2nd hearing notice on 03.03.2010 and 26.03.2010 respectively. But no such notice has been received by my client so far. Here the important point to note that, on 24.03.2009 only the borrower i.e. my client's son has died.
Therefore, now i have to challenge the said arbitral award. So pls guide that,
Whether the arbitral award can be set aside and what is the limitation?
which court has got jurisdiction to try and decide it? i.e. whether the court of city X or Y?
Raj Kumar Makkad
(Expert) 14 December 2012
You shall have to file objections to the notice received to you from the court whether it is of city X or Y. Award has been passed and now it has been sent to the concerned court for its execution.
You have got all legal rights to raise each and every point like non-receipt of notice by arbitrator, earlier full and final settlement etc.
ajay sethi
(Expert) 14 December 2012
Section 34(3) of the Arbitration and Conciliation Act reads as follows:
“An application for setting aside may not be made after three months have elapsed from the date on which the party making that application had received the arbitral award, or, if a request had been made under section 33, from the date on which that request had been disposed of by the arbitral tribunal:
Provided that if the Court is satisfied that the applicant was prevented by sufficient cause from making the application within the said period of three months if may entertain the application within a further period of thirty days, but not thereafter.”
it has to be challenged in city X
Devajyoti Barman
(Expert) 14 December 2012
Yes challenge the award in the court of district judge under section 34 of the Act.
R.K Nanda
(Expert) 14 December 2012
agree with expert Barman.
Raj Kumar Makkad
(Expert) 14 December 2012
As the querist has recently received the copy of award with the notice from district court so limitation has not expired and the award can very well be challenged even now.
Advocate Bhartesh goyal
(Expert) 14 December 2012
Manoj,if your client never received the notice from arbitral Tribunal and have no notice/knowledge of Award,then he can now challenge the Award by filing objections u/s 34 of Arbitration and Conciliation Act 1996 and limitation to file objections will start from the day when he received notice from execution court.Mr makkad has rightly opined in regard of limitation.award can be challenged at both X and Y places.
Raj Kumar Makkad
(Expert) 14 December 2012
I pay thanks to Bhartesh g for endorsement.
