Skip to content

CS Professional · Arbitration, Mediation and Conciliation · Introduction to Conciliation and its Importance for MSMEs

Mehta Components, a micro enterprise, makes a reference to the MSE Facilitation Council on 1 March. Conciliation fails and the matter goes to arbitration under Section 18(3). Which statement is correct about the time limit under Section 18(5)?

Every reference under Section 18 must be decided within ninety days from the date of making the reference. The period is counted from the reference itself, not from the failure of conciliation, and the Act does not exclude references that move to arbitration.

  1. AEvery reference made under the section must be decided within ninety days from the date of making the referenceCorrect
  2. BThe time of ninety days begins only when conciliation fails
  3. CThe Council has one hundred and eighty days from the date of the reference
  4. DNo time limit applies because arbitration is involved

Explanation

Section 18(5) says every reference made under this section must be decided within ninety days from the date of making the reference. The period runs from the reference, not from the termination of conciliation. It covers the reference as a whole, so the conciliation-then-arbitration route does not extend it by wording.

Did you get it right without looking?

One question tells you little. A timed set on Introduction to Conciliation and its Importance for MSMEs shows your real accuracy, how long you take and where you lose marks.

Practise Introduction to Conciliation and its Importance for MSMEsFree diagnostic mock

More Introduction to Conciliation and its Importance for MSMEs questions