Business Standard

No automatic stay on enforcement of arbitration award if challenged: SC

Apex court strikes down Section 87 of Arbitration Act; Does not give interim relief to petitioners, HCC, Gammon India

Govt starts talks on using services of private third party arbitrators
Premium

The case was filed through a writ petition in the Apex Court by infrastructure firm Hindustan Construction Company (HCC) and Gammon India

Geetika Srivastava New Delhi
A three-judge Bench of the Supreme Court, led by Justice R F Nariman, has struck down Section 87 of the Arbitration and Conciliation Act, 1996, which was inserted through 2019 Amendment Act. The provision provided for an automatic stay on enforcement of the award once the opposite party challenged the award in court. The Bench noted that on an average, about six years were spent in defending these challenges, and the money, therefore, is stuck for a long time.

The case was filed through a writ petition in the Apex Court by infrastructure firm Hindustan Construction Company (HCC) and Gammon

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: Nov 27 2019 | 11:19 PM IST

Explore News

To read the full story, subscribe to BS Premium now, at just Rs 249/ month.

Key stories on business-standard.com are available only to BS Premium subscribers.

Register to read more on Business-Standard.com