CS Professional · Arbitration, Mediation and Conciliation · International Law of Arbitration
A Singapore-seated tribunal awards Rs 6 crore to Kaveri Exports on two claims: Rs 4 crore under the supply contract, which the arbitration clause covers, and Rs 2 crore on an unrelated loan that lies outside the submission to arbitration. The loan decision can be separated from the rest. The respondent proves the excess. What is the position on enforcement in India under Section 48?
Only the Rs 4 crore part dealing with matters within the submission may be enforced. Under the proviso to Section 48(1)(c), where decisions on submitted matters are separable from those beyond the submission, the valid part can be enforced while the excess part is refused.
- AThe whole award must be refused enforcement
- BThe whole award is enforced because the respondent participated in the arbitration
- COnly the part dealing with matters submitted to arbitration may be enforcedCorrect
- DOnly the loan part may be enforced
Explanation
Section 48(1)(c) permits refusal where the award goes beyond the submission. The proviso says that if decisions on matters submitted can be separated from those not submitted, the part containing decisions on submitted matters may be enforced. So the Rs 4 crore part can be enforced and the loan part cannot.
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