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Report No. 176

2. Amendment of Section 2

In section 2 of the Arbitration and Conciliation Act, 1996 (hereinafter referred to as the principal Act),-

(i) in sub-section (1), for clauses (e) and (f), the following clauses shall be substituted, namely:-

"(e) 'court' means the principal Civil Court of original jurisdiction in a district, the Court of principal judge of the City Civil court of original jurisdiction in a city and includes the High Court in exercise of its ordinary original civil jurisdiction, having jurisdiction to decide the questions forming the subject matter of an arbitration if the same had been the subject matter of a suit, but does not include any civil court of a grade inferior to such principal Civil Court or to such Court of the principal judge City Civil Court, or any Court of Small Causes;

(ea) 'domestic arbitration' means an arbitration relating to disputes arising out of legal relationships, whether contractual or not, where none of the parties is-

(i) an individual who is a national of, or habitually resident in, any country other than India; or

(ii) a body corporate which is incorporated in any country other than India; or

(iii) an association or a body of individuals whose central management and control is exercised in any country other than India; or

(iv) the Government of a foreign country, and shall be deemed to include international arbitration and international commercial arbitration where the place of arbitration is in India;

(eb) 'international arbitration' means an arbitration relating to disputes arising out of legal relationships, whether contractual or not, and where at least one of the parties is,-

(i) an individual who is a national of, or habitually resident in, any country other than India; or

(ii) a body corporate which is incorporated in any country other than India; or

(iii) an association or a body of individuals whose central management and control is exercised in any country other than India; or

(iv) the Government of a foreign country:

(f) 'international commercial arbitration' means international arbitration considered as commercial under the law in force in India;

(fa) 'judicial authority' includes any quasi-judicial statutory authority;".

(ii) for sub-section (2), the following sub-section shall be substituted, namely:-

"(2) (a) This Part shall apply to domestic arbitration;

(b) Sections 8, 9, 27, 35 and 36 of this Part shall apply to international arbitration (whether commercial or not) where the place of arbitration is outside India or is not specified in the arbitration agreement."

(iii) after sub-section (9), the following sub-section shall be inserted, namely:-

"(10) The principal Civil Court of original jurisdiction in a district or the Court of the principal judge, City Civil Court exercising original jurisdiction in a city, as the case may be, may transfer any matter relating to any proceedings under the Act pending before it to any court of coordinate jurisdiction, in the district or the city, as the case may be, for decision from time to time.".



The Arbitration and Conciliation (Amendment) Bill, 2001 Back




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