Report No. 76

8.26. Section 32 and use of award as a defence.-

The bar imposed by section 32 on a "suit on an award" naturally raises the question how far a defence on the basis of an award is barred. Whether a party can set up an award by way of defence, when the award has not been filed, is a question which has arisen in the courts. There seems to be a conflict of decisions on the point.1 One view is that the prohibition in section 32 is confined merely to a suit by which a decision upon the existence etc. of the agreement or award is sought, and does not extend2 to a defence based on a private award. A contrary view is that section 32 is wide enough to bar such a defence.3-6

1. The case law is discussed in detail in Srinivasa Rao v. Narasimha Rao, AIR 1963 AP 193 (197), para. 12, and Mohamed Yusuf v. Mohamed Hussain, AIR 1964 Mad 1 (FB).

2. Kedar Nath v. Ambika, AIR 1974 All 37.

3. Lachman v. Maker, AIR 1954 Pat 27.

4. Seonarain Led v. Prabhu Chand, AIR 1958 Pat 252 (258).

5. Panamdass Suganram v. Hanikyam Pillai, AIR 1960 AP 59 (FB).

6. Mohamad Yusuf v. Mohamed Hussain, AIR 1964 Mad 6 (7), paras. 18, 20.