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Report No. 76

5.12. Cases of mistake.-

Again, there may be cases where there is a mistake in the award. Thus, if "Daniel" is referred to in the award as "David", then on that ground the award can be remitted. (Of course, there are other provisions also regarding mistake).1

Then, there may be cases where a specific statutory provision constituting the substantive law applicable to the case has been overlooked by the arbitrators. There may be many other cases where remission would be appropriate. Most of these cases would not fall under section 16, unless the language of section 16(1)(c)-"where an objection to the legality of the award is apparent upon the face of it"-is stretched beyond its legitimate limits.

It is clear that remission can, at present, be ordered only on the specified grounds2 The present provision follows the narrower one in the Civil Procedure Code, Second Schedule, paragraph 14, instead of the wider one in section 13, Act of 1899. The notes on clauses relating to the Bill which led to the Act of 1940 merely state that the clause follows the Second Schedule, clause 14. No other reasons are given as already stated.3

The following chart will show the relevant provisions:-

(English) Arbitration Act,1889

Indian Arbitration Act, 1899

C.P.Code, 1908, Second Schedule

(Indian) Arbitration Act, 1940

Section 10

Section 12

Paragraph

Section 16

(1) In all cases of reference to arbitration the Court or a judge may from time to time remit the matters referred, or any of them, to the reconsideration of the arbitration or umpire. (1) The Court may, from time to time, remit the award to the re-consideration of the arbitrators, or umpire. The court may remit the award or any matter referred to arbitration to the reconsideration of the same arbitration or umpire, upon such terms as it thinks fi.-

(a)Where the award has left undermined any of the matters referred to arbitration, or where it determines any matter not referred to arbitration, unless such matter can be separated without affecting the determination of the matters referred;

(b) Where the award is so indefinite as to be incapable of execution;
© Where an objection to the legality of the award is apparent on the face of it. Paragraph 16(1). An award remitted under paragraph 14 becomes void on the failure of the arbitrator or umpire to re-consider it. But no award shall be set aside except on one of the following grounds, namely:- etc.
The court may from time to time remit the award or any matter referred to arbitrators or umpire for reconsideration upon such terms as it thinks fi.-

(a) same as

(b)(a),(b),(c)
© in the preceding column (i.e. C.P. Code).
(2) Where an award is remitted, the arbitrator or umpire shall, unless the order otherwise directs, make their award within three months after the date of the order. (2)Where an award is remitted under sub-section (1), the arbitrators or umpire shall, unless the court otherwise directs, make a fresh award within three months after the date of the order remitting the award. (2) Where an award is remitted under sub-section (1), the Court shall fix the time arbitrator or umpire shall submit his decision to the Court: Provided that any time so fixed may be extended by subsequent order of the Court.
(3) An award remitted under sub-section (1) shall become void on the failure of the arbitrator or umpire to reconsider it and submit his decision within the time fixed.

1. See sections 13(d) and 15(c), Indian Act, and section 17, English Act.

2. See Sircar Law of Arbitration in British India, (1942), P. 201.

3. See para. 5.19, infra.



Arbitration Act, 1940 Back




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