There is an utmost need and an irrefutable statutory obligation on Award holder to show delivery of a signed copy of arbitral award as contemplated in Sec. 31(5) of Arbitration and Conciliation Act, 1996 | Onus shifts on a third party to show proof of delivery as opposed to Award Debtor (or any other persons) receiving the written communication – Ashok Kumar Chaudhary @ Ashok Kumar Ram Sabadh Chaudhary and Anr. Vs. Kotak Mahindra Bank Ltd. – Calcutta High Court
January 9, 2024
Hon’ble Calcutta High Court held that:
(i) The mandatory nature of the requirement would be evident from the word ‘shall’ in the Sec. 31(5).
(ii) The 1996 Act is a code unto itself and the deeming fiction contained in section 3(1)(b) can only be taken recourse to if reasonable inquiry for delivery of the communication is made to the place specifically referred to in section 3(1)(a).
(iii) The provisions of the 1996 Act, being a special statute and a complete code, must be given precedence over section 27 of the General Clauses Act.
(iv) The Act contains a clear mandate as to delivery of an award under section 31(5) of the said Act.
(v) The onus in this respect is entirely on the award-holder since the award-holder must present irrefutable evidence in terms of delivery of the award under section 31(5) as well as of the deeming fiction under section 3 for non-suiting the award-debtor.
(vi) The mandate of section 31(5) cannot be tailored to suit the particular facts of each case.
