190522 ELP Arbitration Weekly Update

This week, we analyze the decision of the Supreme Court in Sai Babu v. M/s Clariya Steels Pvt. Ltd, wherein the Supreme Court determined whether an arbitral tribunal can recall its order terminating the arbitration proceedings under section 32(2)(c) of the Arbitration and Conciliation Act, 1996 (“the Act”). 

Nurturing the objective of section 32 of the Act, the Supreme Court concluded that the arbitral tribunal cannot recall its orders in cases covered by section 32(3) of the Act. With reference to section 15(2) of the Act which provides for the appointment of a substitute arbitrator when the mandate of an arbitrator terminates, the Supreme Court also appointed a substitute sole arbitrator with the consent of parties to determine the subsisting disputes between the parties.