CS Professional · Arbitration, Mediation and Conciliation · Preparation and Execution of Arbitral Award
A three-member tribunal decided a dispute between Kavya Textiles and Ranjit Exports. After the award was drafted, one arbitrator refused to sign and the other two signed, recording in the award that the third arbitrator declined to sign. What is the position on the award's validity as to signatures?
The award is valid. With more than one arbitrator, signatures of a majority of all members are sufficient provided the reason for any omitted signature is stated. Two of three arbitrators signed and the refusal was recorded, so the signature requirement is met.
- AInvalid, because every member must sign
- BValid, because signatures of a majority are sufficient and the reason for the omitted signature is statedCorrect
- CValid only if the parties consent in writing to the missing signature
- DInvalid unless the presiding arbitrator is among the signatories and a Court approves
Explanation
Section 31(2) says that where there is more than one arbitrator, the signatures of the majority of all members suffice so long as the reason for any omitted signature is stated. Two of three signed and the reason was recorded. Requiring all signatures is wrong.
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