SC ruling in NHAI vs Ssangyong case streamlines arbitration awards process

Section 34 of the Act deals with filing of application in courts for setting aside an arbitration award.

Contractual disputes with government entities, whether public sector units (PSUs) or government bodies like the National Highways Authority of India (NHAI), often drag on because arbitration awards are challenged in the law courts. A principal reason for this is that not only do all losing parties to an arbitration file appeal in courts, but with PSUs, the option of not filing an appeal is generally not open for fear of corruption allegations and vigilance enquiries. With a large number of PSU contracts providing for arbitration as the mode of dispute resolution, there has been a steady increase in arbitration-related court