Report No. 246
Amendment of Section 9
6. In section 9,
(i) before the words "A party may, before" add sub-section "(1)"
(ii) after the words "any proceedings before it" add sub-section "(2) Where, before the arbitral proceedings, a Court grants any interim measure of protection under sub-section (1), the arbitral proceedings shall be commenced within 60 days from the date of such grant or within such shorter or further time as indicated by the Court, failing which the interim measure of protection shall cease to operate.
[Note: This amendment is to ensure the timely initiation of arbitration proceedings by a party who is granted an interim measure of protection.]
(iii) Add sub-section "(3) Once the Arbitral Tribunal has been constituted, the Court shall, ordinarily, not entertain an Application under this provision unless circumstances exist owing to which the remedy under section 17 is not efficacious."
[Note: This amendment seeks to reduce the role of the Court in relation to grant of interim measures once the Arbitral Tribunal has been constituted. After all, once the Tribunal is seized of the matter it is most appropriate for the Tribunal to hear all interim applications. This also appears to be the spirit of the UNCITRAL Model Law as amended in 2006.
Accordingly, section 17 has been amended to provide the Arbitral Tribunal the same powers as a Court would have under section 9]