Arbitration & ADR Lawyer in Chandigarh, Panchkula | Chambers of BSL

Arbitration & Alternate Dispute Resolution (ADR)

Chambers of BSL represents clients in arbitration, mediation, and conciliation proceedings under the Arbitration and Conciliation Act, 1996, including appointment of arbitrators, arbitral proceedings, and challenges to arbitral awards before the Punjab and Haryana High Court.

Arbitration and other ADR mechanisms offer parties a faster, more flexible, and often more confidential route to resolving commercial and contractual disputes compared to conventional litigation. Below is an overview of how these matters work, followed by frequently asked questions.

What Disputes Go to Arbitration

Arbitration is available where the underlying contract contains an arbitration clause, or where the parties otherwise agree to refer their dispute to arbitration. It is commonly used in:

  • Commercial and business contracts
  • Construction and infrastructure agreements
  • Real estate and builder-buyer agreements containing an arbitration clause
  • Partnership and shareholder disputes
  • Supply, distribution, and franchise agreements
  • Banking and financial contracts

Appointment of Arbitrator (Section 11 Petitions)

Where a contract contains an arbitration clause but the parties are unable to agree on the appointment of an arbitrator — or one party fails to act as required under the agreed procedure — the other party can approach the High Court under Section 11 of the Arbitration and Conciliation Act for appointment of an arbitrator.

What this practice covers:

  • Drafting and filing Section 11 petitions before the Punjab and Haryana High Court
  • Responding to Section 11 petitions on behalf of the opposite party, including objections to arbitrability of the dispute
  • Advising on institutional versus ad-hoc arbitration clauses at the pre-dispute stage

Interim Relief Before or During Arbitration (Section 9 & Section 17)

A party to an arbitration agreement can seek interim protection — such as an injunction, security for the amount in dispute, or preservation of property — either before the arbitral tribunal is constituted (Section 9, before the Court) or during the arbitral proceedings (Section 17, before the Tribunal itself).

What this practice covers:

  • Filing Section 9 applications for urgent interim relief before arbitration commences
  • Section 17 applications before the arbitral tribunal once constituted
  • Enforcement of interim orders passed under Section 17, which are enforceable in the same manner as a court order

Conducting Arbitral Proceedings

Once an arbitrator or tribunal is constituted, the matter proceeds through pleadings, evidence, and final hearing much like a civil trial, but with more flexible procedure as agreed between the parties and the tribunal.

What this practice covers:

  • Drafting statement of claim and statement of defence
  • Representation at evidence and cross-examination stage before the arbitral tribunal
  • Final arguments and submissions leading to the arbitral award

Challenging an Arbitral Award (Section 34)

A party dissatisfied with an arbitral award can challenge it before the Court under Section 34 of the Act, but only on limited, specified grounds — an arbitral award cannot be challenged merely because a party disagrees with the outcome on merits.

Grounds on which an award can typically be challenged:

  • Incapacity of a party, or invalidity of the arbitration agreement
  • A party was not given proper notice of the arbitral proceedings or was otherwise unable to present its case
  • The award deals with a dispute not falling within the terms of the arbitration agreement
  • The composition of the tribunal or the arbitral procedure was not in accordance with the agreement between the parties
  • The award is in conflict with the public policy of India, or is vitiated by patent illegality (for domestic arbitrations)

Process overview:

  1. Filing of Section 34 petition within three months from the date of receipt of the award (extendable by a further 30 days on sufficient cause)
  2. Notice to the opposite party
  3. Hearing limited to the grounds specified under Section 34 — the Court does not re-appreciate evidence or sit in appeal over the arbitrator’s findings on merits
  4. Final order — award upheld, set aside in whole or in part

Enforcement of Arbitral Awards (Section 36)

Once the time for challenging an award under Section 34 has expired, or a Section 34 challenge has been rejected, the award becomes enforceable as a decree of the Court.

What this practice covers:

  • Filing execution proceedings to enforce a domestic arbitral award
  • Enforcement of foreign arbitral awards under Part II of the Act, where applicable
  • Resisting execution where valid grounds exist

Mediation & Conciliation

Beyond formal arbitration, disputes are also resolved through mediation and conciliation — processes where a neutral third party assists parties in reaching a mutually acceptable settlement, without the adversarial character of litigation or arbitration.

What this practice covers:

  • Representation in court-annexed mediation referred under Section 89 CPC
  • Conciliation proceedings under Part III of the Arbitration and Conciliation Act
  • Drafting and vetting settlement agreements arising from mediation or conciliation, which can be recorded and made enforceable

Forums Where These Matters Are Handled

  • Punjab and Haryana High Court (Section 9, 11, 34, and appeals)
  • Commercial Courts, where the dispute qualifies as a commercial dispute under the Commercial Courts Act
  • Institutional and ad-hoc arbitral tribunals
  • Mediation Centres attached to District Courts and the High Court

Frequently Asked Questions

Can I go to court instead of arbitration if my contract has an arbitration clause? Generally no. Where a valid arbitration clause exists, courts will typically refer the parties to arbitration under Section 8 of the Act if either party raises the objection at the first opportunity, rather than proceeding with a civil suit on the same dispute.

On what grounds can an arbitral award be challenged? An arbitral award can only be challenged under Section 34 on specific, limited grounds — such as incapacity of a party, invalid arbitration agreement, denial of a fair opportunity to present the case, the award exceeding the scope of the arbitration agreement, or conflict with the public policy of India. Courts do not re-examine the merits of the arbitrator’s decision as they would in a regular appeal.

How long do I have to challenge an arbitral award? A Section 34 petition must be filed within three months from the date of receipt of the award, with a further 30 days condonable on sufficient cause shown. Beyond this, the award generally becomes final and enforceable.

Is an arbitral award as enforceable as a court judgment? Yes. Once the period for challenge has lapsed, or a challenge has been dismissed, the arbitral award is enforceable in the same manner as a decree of the civil court under Section 36 of the Act.

What is the difference between arbitration and mediation? Arbitration results in a binding award decided by the arbitrator after hearing both sides, similar to a judgment. Mediation is a facilitated negotiation where a neutral mediator helps the parties arrive at their own mutually agreed settlement — the mediator does not decide the dispute.

Can interim relief be obtained before the arbitrator is even appointed? Yes. Section 9 of the Act allows a party to approach the Court for interim measures — such as injunctions or security — even before arbitral proceedings have formally commenced, where urgent protection is needed.

This page is for general informational purposes only and does not constitute legal advice or solicitation. Outcomes in arbitration and ADR matters depend on the specific contract terms, facts, and evidence in each case. For advice specific to your situation, please seek a consultation.