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whether arbitration clause covers all remedies?

(Querist) 03 April 2009 This query is : Resolved 
Dear all,

pls resolve my one query that whether an arbitrator appointed as per existing arbitration clause will be sole forum for entire disputes, either civil or criminal, arise in respect of an agreement? Pls specify in case of criminal offence related to the agreement, in which mere arbitration remedy is available, what will be the course of action?


sanjeev murthy desai (Expert) 03 April 2009

Dear Prabhat,

Arbitrator has only right to solve the civil nature disputes which the agreement is disputed and Award also consider as a decree with in the meaning of CPC.

If the criminal offence related to the said agreement does not comes with in the meaning of arbitration it will taken action from criminal proceedings under CRPC.

File a complaint jurisdictional police stattion stating what offence done by the against party.

sanjeev desai
adv. rajeev ( rajoo ) (Expert) 03 April 2009
Dear Member,
I agree with Sanjeev desai.
Hiralal Das (Expert) 03 April 2009
I am also agreed with Mr. Sanjeev Desai and Mr. Rajeev.
M. PIRAVI PERUMAL (Expert) 03 April 2009
I agree with the views.
Murali Krishna (Expert) 04 April 2009
As Sanjjev Desai clarified, arbitration proceedings do not apply in criminal matters.

Apart from this, S.36 of A&C Act,1996 stipulates that arbitration award can be enforced as if it were a decree under code of Civil Procedure,1908. Obviously, a criminal mater does not come under CPC.
Tribhuwan Pandey (Expert) 06 April 2009
I also agree with Mr. Sanjeev Desai.
Ashey (Expert) 06 April 2009
I also agree with Mr. Sanjeev Desai.
Prabhat K Srivastava (Querist) 09 April 2009
Dear all

Firstly thanks to Mr. Sanjeev & Mr. Murali for giving their good suggestions. I think this is a good & valuable forum for all legal personnel like us, so in case of queries instead of replying in short manner(viz. agree/disagree--it only take the place) we should reply with provisions of law with our analysis. My query is still open for speaking answers. Pls help me in resolving the same.

Kiran Kumar (Expert) 09 April 2009
Prabhat g, its a genereal position of law that the arbitrator can not deal with the criminal aspect of the case.

practically arbitrator is not a judge, his position is more like a persona designata, since the parites have chosen him to decide any dispute arising out of some agreement so his decision is considered to be binding.

for any criminal liability the matter is in the domain of either the investigating agencies or the court.
ESTHERPRIYA (Expert) 09 April 2009
Dear Prabhat Ji,

The general proposition of criminal law is it is a wrong against the State/Country. For such wrong you cannot bring those wrong acts into the shield of Arbitration Agreement. Any criminal actions will be prosecuted separately according to criminal laws and in such case A&C Act will not play a role in it. Whereas for the sake of money and other related civil matter, A&C Act has its role to play. Thus Arbitrator is entitled to deal with the matter of civil jurisdiction which fall within the ambit and scope of his authority. For Criminal matter - criminal law, investigating agencies, police and courts will take their recourse.
Prabhat K Srivastava (Querist) 11 April 2009
Dear Mr. Kiran & Padmapriya G thanks for your legal & analytical suggestions.


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