ARBITRATION AND CONCILIATION ACT, 1996
INTRODUCTION AND OBJECT OF THE ACT-
The Law of Arbitration is enumerated in the arbitration and conciliation act, 1996. It extends to the whole of India except to the State of Jammu and Kashmir. It came into force on the 25th day of January 1996.
This Act provides for domestic arbitration, International commercial arbitration and also enforcement of foreign arbitral awards.
The Act consists of a Preamble. The Preamble proceeds as follows-
An Act to consolidate and amend the law relating to domestic arbitration, international commercial arbitration and enforcement of foreign arbitral awards as also to define the law relating to conciliation and for matters connected therewith or incidental thereto.
THE MOST PROMINENT OBJECTIVES OF THIS ACT ARE-
- To cover international commercial arbitration and also domestic arbitration and conciliation
- To provide that the Arbitral Tribunal justify the award passed by it by giving reasons.
- The act ensures that the arbitral tribunal would remain within the limits of its jurisdiction.
- To make a fair and efficient arbitral procedure which is capable of meeting the needs of the specific arbitration.
- To reduce and minimize the supervisory role of courts in the arbitral process.
- To provide that every final arbitral award is enforced in the same way and manner as if it was a decree of a court.
- To permit the arbitral tribunal to use different modes of settlement of disputes like mediation and conciliation.