CS Professional · Arbitration, Mediation and Conciliation

Emerging Aspects: Fast Track and Virtual Arbitration: formula sheet

Full chapter guide

Key formulas

Fast track agreement (section 29B(1)): Written agreement of parties, at any stage before or at the time of appointment of the tribunal; Fast track is consensual. The tribunal cannot impose it, and an agreement after the tribunal is appointed does not fit this text.
Tribunal composition (section 29B(2)): Parties may agree on a sole arbitrator chosen by them; This is optional ('may'), not compulsory.
Procedure (section 29B(3)): Decision on written pleadings, documents and submissions; no oral hearing unless all parties request or the tribunal considers it necessary; The tribunal may call for further information or clarification. If a hearing is held, it may dispense with technical formalities.
Time limit (section 29B(4) and (5)): Award within 6 months from the date the tribunal enters upon the reference; on default, section 29A(3) to (9) apply; The period runs from the date the tribunal enters upon the reference, not from the agreement.
Fees (section 29B(6)): As agreed between the arbitrator and the parties; No fixed fee scale is set in this section.
Reference by court (section 8(1)): Application not later than the date of submitting first statement on the substance of the dispute; Refusal only if prima facie no valid arbitration agreement exists.
Settlement (section 30): Settlement in proceedings: tribunal terminates proceedings; award on agreed terms if parties request and tribunal does not object; Award on agreed terms must state that it is an arbitral award and has the same status as any other award.
Definition of arbitration agreement: Agreement to submit present or future disputes + defined legal relationship (contractual or not) — Section 7(1); Can be a clause in a contract or a separate agreement, Section 7(2).
Writing requirement: Arbitration agreement shall be in writing — Section 7(3); No writing, no valid arbitration agreement under Part I.
Three ways of being in writing: (a) document signed by parties; (b) exchange of letters, telex, telegrams or other telecommunication, including electronic means, giving a record; (c) exchange of statement of claim and defence, existence alleged by one and not denied by the other — Section 7(4); Email fits (b). Pleadings fit (c).
Incorporation by reference: Contract in writing + reference makes the arbitration clause part of the contract — Section 7(5); A passing mention of a document is not enough. The reference must make the clause part of the contract.
Agreeing to fast track: Written agreement, at any stage before or at the time of appointment of tribunal — Section 29B(1); Optional. Sole arbitrator chosen by parties may be agreed, Section 29B(2).
Fast track time limit: Award within 6 months from the date tribunal enters upon the reference — Section 29B(4); On delay, Section 29A(3) to (9) apply, Section 29B(5).
Agreement to use fast track: Parties agree in writing, at any stage before or at the time of appointment of the tribunal; Section 29B(1). Without a written agreement, fast track does not apply.
Sole arbitrator option: Parties may agree on a sole arbitrator chosen by the parties; Section 29B(2). It is permissive: 'may agree'.
Procedure: Decision on written pleadings, documents and submissions; no oral hearing as the default; Section 29B(3)(a). The tribunal may call for further information or clarification under (3)(b).
When oral hearing is allowed: Only if all parties request it OR the tribunal considers it necessary to clarify certain issues; Section 29B(3)(c). A request by just one party is not enough.
Formalities at hearing: Tribunal may dispense with technical formalities and adopt procedure for expeditious disposal; Section 29B(3)(d). Applies if an oral hearing is held.
Time limit: Award within 6 months from the date the tribunal enters upon the reference; Section 29B(4). Counted from entering upon the reference, not from completion of pleadings.
Consequence of delay: If award is late, section 29A(3) to (9) applies; Section 29B(5). Covers extension by consent (up to a further six months), Court extension, termination of mandate, fee reduction, substitution and costs.
Fees: As agreed between the arbitrator and the parties, including manner of payment; Section 29B(6).
Section 20(1): agreed place: Place of arbitration = place agreed by the parties; The parties are free to agree. Their agreement comes first.
Section 20(2): default rule: No agreement → tribunal decides, having regard to the circumstances of the case, including the convenience of the parties; Applies only when the parties have not agreed on the place.
Section 20(3): meeting elsewhere: Unless otherwise agreed, tribunal may meet at any place it considers appropriate for consultation, hearing witnesses, experts or parties, or inspection of documents, goods or property; This is the base for hearings away from the place, including virtual hearings (by interpretation). The parties can restrict it by agreement.
Section 69(2): conciliation contrast: No agreed place → conciliator decides, after consulting the parties, having regard to the circumstances; In conciliation the conciliator, not a tribunal, fixes the place, and must consult the parties.
Seat vs venue (working distinction): Seat = legal place of arbitration; Venue = location of meetings and hearings; A judicial distinction, not defined in Section 20. Use it to explain why virtual hearings do not shift the seat.
Arbitration agreement in electronic form: Section 7(3) and 7(4)(b): must be in writing; exchange of communication through electronic means that provides a record is enough; Email exchange can form a valid written agreement if it records the agreement.
Mode of hearing: Section 24(1): tribunal decides oral hearing or documents-only, unless parties agree otherwise; Proviso: oral hearing on a party's request unless parties agreed none shall be held.
Notice of hearings: Section 24(2): sufficient advance notice of any hearing and of meetings for inspection; Applies to virtual hearings and meeting links too.
Communication of material: Section 24(3): all statements, documents, applications and expert reports relied on go to the other party; Core natural justice rule for e-filing and shared folders.
Day-to-day hearings: Second proviso to section 24(1): as far as possible day-to-day, no adjournment without sufficient cause, costs possible; The tribunal may impose costs including exemplary costs.
Applicability of Part I: Section 2(2): Part I applies where the place of arbitration is in India; Virtual hearing does not change the place of arbitration.

Quick revision

Section 29B applies only if the parties agree in writing to the fast track procedure.
The agreement may be made at any stage before or at the time of appointment of the tribunal.
Parties may agree on a sole arbitrator chosen by them.
Default rule: decide on written pleadings, documents and submissions, without an oral hearing.
The tribunal may call for further information or clarification.
Oral hearing only if all parties request it, or the tribunal considers it necessary to clarify issues.
If a hearing is held, the tribunal may dispense with technical formalities.
The award must be made within six months from the date the tribunal enters upon the reference.
If the six months are missed, Section 29A sub-sections (3) to (9) apply.
Arbitrator's fees and the manner of payment are as agreed between the arbitrator and the parties.
Under Section 20, parties are free to agree the place; failing that, the tribunal decides having regard to the circumstances, including convenience.
Unless the parties agree otherwise, the tribunal may meet at any place it considers appropriate for hearings, consultation or inspection.

Common mistakes

Saying fast track arbitration is automatic or imposed on small disputes. Fix: State that section 29B applies only when parties agree in writing.
Writing that no oral hearing can ever be held in fast track. Fix: Add that a hearing may be held if all parties request it or the tribunal considers it necessary for clarifying certain issues.
Saying an arbitration agreement is valid only if both parties sign one document. Fix: Learn all three limbs. An exchange of emails giving a record of the agreement falls under Section 7(4)(b).
Treating an oral arbitration agreement as valid because both sides admit it. Fix: Section 7(3) requires writing. Only the listed forms count, including the case where claim and defence pleadings show the agreement alleged and not denied.
Saying a fast track agreement can be made at any time, even after the tribunal is appointed. Fix: Remember the full phrase: at any stage either before or at the time of appointment of the arbitral tribunal.
Stating that fast track requires a sole arbitrator. Fix: Section 29B(2) says parties 'may agree' on a sole arbitrator. It is an option.
Saying the tribunal always decides the place. Fix: Start with Section 20(1). The parties decide first. The tribunal decides only if they have not agreed.
Treating seat and venue as identical. Fix: Define seat as the legal place and venue as where hearings are held. Say that Section 20(3) lets hearings happen elsewhere without moving the seat.
Saying the Act expressly provides for virtual hearings. Fix: Say the Act is silent on the medium. The tribunal's power to decide the mode of hearing, subject to party agreement, supports it.
Treating an email exchange as never valid for an arbitration agreement. Fix: Cite section 7(4)(b): electronic communication providing a record of the agreement is in writing.

Exam tips

Always tie the trend to a provision. Section 29B is the anchor for fast track questions.
In fact-based questions, check the timing of the written agreement and the date the tribunal entered upon the reference.
Do not forget the exception for an oral hearing and the consequence under section 29A of delay.
Close each answer with a drafting point; the paper rewards practical compliance advice.
For comparison questions, use two columns of points in prose: flexibility and cost control for ad hoc, administration and supervision for institutional.
Quote the sub-section. 'Section 7(4)(b)' for email and 'Section 29B(1)' for fast track earn more than a general statement.
In case questions, first state the form test, then apply it to the exact words of the emails or letters, then conclude.
Learn the timing phrase of Section 29B(1): 'before or at the time of appointment of the arbitral tribunal'. Examiners test it.