A CRITICAL ANALYSIS OF SECTION 29A: ENSURING EXPEDITIOUS ARBITRATION IN INDIA

Abstract

“This paper critically examines Section 29A of the Arbitration and Conciliation Act, 1996, as amended by the Arbitration and Conciliation (Amendment) Acts of 2015 and 2019, which were enacted to provide mandatory deadlines so that arbitration proceedings are conducted expeditiously in India. The provision is meant to curb persistent delays in the delivery of arbitral awards by providing a firm time frame within which arbitral awards are to be delivered, thus increasing efficiency and circumventing judicial intervention. Although it has clear goals, Section 29A has created immense legal and practical dilemmas involving problems of interpretation, its application, and balancing between timeliness and procedural fairness. This discussion examines the background of the enactment of Section 29A, its amendments and some of the important judicial decisions, especially that of the Supreme Court in Rohan Builders Pvt. Ltd. v. Berger Paints India Pvt. Ltd. that affirmed the discretionary powers of the courts to extend the timelines of arbitrations on “sufficient cause”. The paper has also taken into consideration a comparative view of Singapore and England with differences in the statutory frameworks when dealing with arbitral award timelines. Finally, this Paper finds the strengths and limitations of Section 29A, and provides recommendations for clearer statutory definitions and procedural guidelines to achieve a balance between prompt dispute resolution and the principles of natural justice. It concludes that though Section 29A is a milestone in the direction of fast-track arbitration in India, judicial and legislative refinement is required to achieve the ultimate goals of the same.”