International commercial arbitration is a method of resolving disputes that arise from international contracts. It is used as a substitute for litigation and is governed mostly by the contracting parties’ prior agreements, rather than by national legislation or procedural regulations. Most contracts include a dispute resolution clause that states that any contract-related problems will be resolved by arbitration rather than litigation. At the time of the contract, the parties might define the forum, procedural procedures, and controlling legislation.


The following laws would apply to ICA when the case falls under part 1 of the act, i.e., when the seat of the arbitration is in India.

1. Notice of Arbitration: One party notifies the other, requesting that the issue be resolved through arbitration.

2. Court’s reference for Arbitration: As per section 8 of “The Arbitration and Conciliation Act”, if a party in front of a judicial authority requests that the case be referred to arbitration by submitting an application along with an original copy of the arbitration agreement on the same day as its first statement, the judicial authority is bound to accept the request and refer the parties to arbitration. The application can be dismissed if the party fails to submit the original arbitration agreement or a duly certified copy of it.

3. Interim reliefs in Arbitration: Under section 9, interim relief is granted to the parties by the court and under section 17, interim relief is granted by the arbitral tribunal. The objective of this provision is to provide security to the party seeking relief until the final decision is given.

4. Appointment of Arbitrators: The act’s section 11 allows for the appointment of arbitrators. Unless the parties agree differently, the arbitrator can be of any nationality. Because the arbitrators must be an odd number, the parties must each nominate one arbitrator, and both arbitrators must appoint a third arbitrator within thirty days.

5. Basics of the proceedings: The parties are needed to be flexible in terms of the procedure, place and language of the arbitration. The arbitral tribunal has the power to decide that in what sequence the evidence are to be examined. The parties can also settle the dispute through a mutual consent or it can be settled by the arbitral tribunal a well. After the decision is given it is recorded as an arbitral with the consent of both the parties and the arbitral tribunal as per section 30 of “The Arbitration and Conciliation Act, 1996”.

6. Setting aside an Arbitral award: If a party is not satisfied with the decision of the tribunal, then it can make an application to the court under section 34 of the act to set aside the arbitral award. For example, if the party making the application was not given proper notice of the appointment of the arbitrator, or if a party was under some incapacity, or if the arbitration agreement is not valid etc. The application to set aside the award has to be made within three months from the date of receiving of the award.

7. Enforcement of Arbitral award: The arbitral award becomes binding on both the parties under section 35 of the act and is considered to be the same as an order passed by a court of law based on the provisions of the Code of Civil Procedure, 1908.


Aishwarya Says:

I have always been against Glorifying Over Work and therefore, in the year 2021, I have decided to launch this campaign “Balancing Life”and talk about this wrong practice, that we have been following since last few years. I will be talking to and interviewing around 1 lakh people in the coming 2021 and publish their interview regarding their opinion on glamourising Over Work.

If you are interested in participating in the same, do let me know.

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