Section 36 of the Act deals with enforcement of awards. It states that after the time for setting aside an award under Section 34 has expired, an award shall be enforced in accordance with the Code of Civil Procedure, 1908, as if it were a decree of the court.
If an application for setting aside the award has been filed, it shall not render the award unenforceable, unless the court grants stay of the operation of the award for reasons recorded in writing.
However, if the court is satisfied that a prima facie case is made out that the arbitration agreement, or the contract or the making of the award was induced or effected by fraud or corruption, it shall unconditionally stay the enforcement until challenge under Section 34 is disposed of.
The text of the Section 36 can be found below:
“36. Enforcement- (1) Where the time for making an application to set aside the arbitral award under section 34 has expired, then, subject to the provisions of sub-section (2), such award shall be enforced in accordance with the provisions of the Code of Civil Procedure, 1908 (5 of 1908), in the same manner as if it were a decree of the court.
(2) Where an application to set aside the arbitral award has been filed in the Court under section 34, the filing of such an application shall not by itself render that award unenforceable, unless the Court grants an order of stay of the operation of the said arbitral award in accordance with the provisions of sub-section (3), on a separate application made for that purpose.
(3) Upon filing of an application under sub-section (2) for stay of the operation of the arbitral award, the Court may, subject to such conditions as it may deem fit, grant stay of the operation of such award for reasons to be recorded in writing:
Provided that the Court shall, while considering the application for grant of stay in the case of an arbitral award for payment of money, have due regard to the provisions for grant of stay of a money decree under the provisions of the Code of Civil Procedure, 1908 (5 of 1908).]
Provided further that where the Court is satisfied that a Prima facie case is made out that,-
(a) the arbitration agreement or contract which is the basis of the award; or
(b) the making of the award,
was induced or effected by fraud or corruption, it shall stay the award unconditionally pending disposal of the challenge under section 34 to the award.
Explanation.- For the removal of doubts, it is hereby clarified that the above proviso shall apply to all court cases arising out of or in relation to arbitral proceedings, irrespective of whether the arbitral or court proceedings were commenced prior to or after the commencement of the Arbitration and Conciliation (Amendment) Act, 2015 (3 of 2016).”
IDRC e-Arbitration
Business Friendly
Helps the parties resolve disputes without sacrificing the business relationship
Cost-efficient
By a speedy resolution the parties can focus on profitable business activities rather than spending time and money on litigation
Enforceable
The arbitral award is enforceable as a decree
Fast
A IDRC e-Arbitration is completed within prescribed time.
Paperless
The entire arbitration process is completed without a piece of paper being used.
IDRC e-Mediation
Business Friendly
Helps the parties resolve disputes without sacrificing the business relationship
Cost-efficient
By a speedy resolution the parties can focus on profitable business activities rather than spending time and money on dispute resolution
Fast
A IDRC e-Mediation is usually completed within a prescribed time.
Flexible
The parties are actively in control of the dispute resolution process.
Paperless
The entire mediation process is completed without a piece of paper being used.
