Hi one multi state co op bank took ex parte arbitration award against my friend as he was guarantor. under sec 84 of multi state co-op law 2002 from Mumbai. my friend stay in pune. the award copy even not delivered to my friend by co- op bank. even they haven't taken any execution order from Court & submitted to his saving account bank within 70 days . on that basis bank transfer his entire amount
to co operative bank. my question is
1. does co operative bank has right t
o enforce award directly without taking execution order from District court..?
2. if No then what is the process for enforcement.?
3. is there any legal Notification available by RBI or supreme Court for enforcement of Arbitration award.?
An award holder would have to wait for a period of 90 days after the receipt of the award prior to applying for enforcement and execution. During the intervening period,2 the award may be challenged in accordance with Section 34 of the Act. After expiry of the aforesaid period, if a court finds the award to be enforceable, at the stage of execution, there can be no further challenge as to the validity of the arbitral award.
A further period of 30 days may be granted by a court upon sufficient cause being shown for condonation of delay. Provided upon request only Prior to the recent Arbitration and Conciliation (Amendment) Act, 2015 (“Amendment Act”), an application for setting aside an award would tantamount to a stay on proceedings for execution of the award. However, by virtue of the Amendment Act, a party challenging an award would have to move a separate application in order to seek a stay on the execution of an award.3
