Any decision made prior to the commencement of arbitral proceedings cannot be considered as an award | Essential requirements for an award under arbitration | If Arbitrator refuses to entertain an application under Section 3G(5) of the National Highways Act, the Court can very well entertain a Writ Petition – P.V. George Vs. National Highways Authority of India (NHAI) and Ors. – Kerala High Court
The Division Bench of Hon’ble Kerala High Court held that:
(i) The following are the essential requirements for an award under arbitration: a. There must be commencement of arbitration proceedings. b. The award should be issued by the Arbitrator in accordance with the procedure required to be followed in such arbitration. c. The award must determine all or some of the issues in the arbitration. d. The award must decide the matter in controversy finally or as an interim award during the arbitral proceedings as referred under Section 31(6) of the Arbitration and Conciliation Act.
(ii) If the Arbitrator refuses to entertain an application under Section 3G(5), this Court can very well entertain a writ petition to the limited extent of directing the Arbitrator to initiate arbitration under the statutory provision.
(iii) Leela’s case to the extent holding that specific clause of Limitation Act would apply to the arbitration is per incuriam as it was laid ignoring the statutory provision.