MOST IMPORTANT “ONE LINER”: ARBITRATION AND CONCILIATION ACT, 1996 (Indian Perspective)

1. Which Entry of the 7the Schedule of the Indian Constitution empowers legislature to legislate on the matter relating to arbitration—Entry No. 13 of Concurrent List of the 7^th Schedule.
2. Arbitration and Conciliation Act (ACA) is of which year—1996
3. Latest Amendment in ACA is of which year—March 2021. [The Arbitration and Conciliation (Amendment) Act, 2021 is the latest amendment, which was enacted in March 2021. It made two key changes: amended Section 36[1] and Section 43J[2].
4. The predecessor of the ACA, 1996 were—(i) the Arbitration (Protocol and Convention) Act, 1937; (ii)the Arbitration Act, 1940; the Foreign Awards (Recognition and Enforcement) Act, 1961[Section 85]
5. Statutory Outlay of ACA: Total Sections@87; Total Parts@III; Total Schedule@8
6. ACA was enacted on–16.08.1996
7. ACA was enforced on —22.08.1996
8. Which is India’s key legislation for Alternative Dispute Resolution (ADR)— Arbitration and Conciliation Act (ACA), 1996.
9. True/ False: The ACA aims for speedy, efficient, and less costly dispute resolution, reducing court burden, and promote autonomy to the parties to the contract/ arbitration agreement—True.
10. Purpose of ACA, 1996: Four Purposes: (i) to consolidate and amend the law relating to domestic arbitration, (ii) to consolidate and amend the law relating to international commercial arbitration; (iii) enforcement of foreign arbitral awards; (iv) to define the law relating to conciliation.
11. True/ False: The ACA creates a framework for domestic and international arbitration and conciliation—True.
12. True/ False: The ACA aligns with the United Nations Commission on International Trade Law (UNCITRAL) standards regarding ‘arbitration’ and ‘conciliation’— True. [See Preamble of ACA]
13. India’s Arbitration and Conciliation Act, 1996, draws inspiration from UNCITRAL Model Law, with significant inputs through amendments, from Law Commission Reports, particularly the ________ Report (2001) for the original 1996 Act, and the _______Report (2014) for major 2015/2018 amendments, all aimed at modernizing India’s arbitration framework—176^th Report; 246^th Report.
14. The United Nations Commission on International Trade Law (UNCITRAL) has adopted the UNCITRAL Model Law on International Commercial Arbitration in the year—1985.
15. The United Nations Commission on International Trade Law (UNCITRAL) has adopted the UNCITRAL Conciliation Rules in the year—1980.
16. Which Schedule of the ACA, 1996 contains provisions as to Convention on the Recognition and Enforcement of Foreign Arbitral Awards—Schedule-I.
17. Schedule I of the ACA consists of how many Articles—16 Articles.
18.  The territorial extent of ACA is—Whole of India.
19. Part I of the Arbitration and Conciliation Act, 1996 applies where the place of arbitration is—In India.
20. An arbitral award made under Part l of the Arbitration and Conciliation Act, 1996 shall be considered as a—Domestic Award.
21. The term ‘Arbitration’is defined under Section_______of the ACA—Section 2(a).
22. The expression ‘Arbitral Award’ is defined under Section_______of the ACA—Section 2(c).
23. Section 7of ACA deals with—Arbitration Agreement.
24. True/ False: An arbitration agreement shall be in writing—True. [Section 7(2)]
25. True/ False: An oral arbitration agreementis not recognised as an arbitration agreement under ACA—True.
26. True/ False: An arbitration agreement may be in the form of an arbitration clause in a contract or in the form of a separate agreement—True. [Section 7(2)].
27. Intention to Arbitrate- True/ False: The mere use of the term “arbitration” in a clause is not sufficient to mandate reference to arbitration unless the parties clearly intended to resolve their disputes through arbitration—True.
28. Intention to Arbitrate- True/ False: Mere use of the word ‘arbitration” is not sufficient to treat the clause as an arbitration agreement when the corresponding mandatory intent to refer the disputes to arbitration and the consequent intent to be bound by the decision of the arbitral tribunal is missing—True.
29. Intention to Arbitrate- True/ False: When an agreement provides that the decision of the authority will not be final and binding on the parties, or that if either party is not satisfied with the decision of the authority, he may file a civil suit seeking relief, it cannot be termed as an arbitration agreement—True.
30. True/ False: An arbitration clause which forms part of a contract shall be treated as an agreement independent of the other terms of the contract—True. [Section 16]
31. True/ False: A decision by the arbitral tribunal that the contract is null and void shall not entail ipso jure the invalidity of the arbitration clause—True. [Section 16]
32. Section 9 of ACA deals with—Interim measure by ‘Court’.
33. Section 17 of ACA deals with—Interim measure by ‘Arbitral Tribunal’.
34. Where, before the commencement of the arbitral proceedings, a Court passes an order for any interim measure, the arbitral proceedings shall be commenced within a period of ________ days from the date of such order or within such further time as the Court may determine—90-Days.
35. The number of arbitrator shall not be an even number. It is so mandated under Section_______of the ACA—Section 10.
36. Where more than one request for appointment of Arbitrator have been made to the Chief Justices of different High Courts or their designates, which High Court shall be competent to decide on the request?—The High Court or its designate to whom the request has been first made.
37. True/ False: No appeal including Letters Patent Appeal (LPA) shall lie against appointment of Arbitrator by High Court and Supreme Court, as the case may be—True. [Section 11(7)]
38. An application made for appointment of an arbitrator shall be disposed of by the Supreme Court or the High Court as expeditiously as possible and an endeavour shall be made to dispose of the matter within a period of ________ days from the date of service of notice on the opposite party—Sixty days [Section 11(13)].
39. Undertaking by Proposed Arbitrator: When a person is approached in connection with his possible appointment as an arbitrator, he shall disclose in writing any circumstances, which are likely to affect his ability to devote sufficient time to the arbitration and in particular his ability to complete the entire arbitration within a period of _________ months—12-Months.
40. Challenge: The appointment of arbitrator may be challenged by the party within________days after becoming aware of the constitution of the arbitral tribunal—15-days.
41. True/ False: An arbitration clause which forms part of a contract shall be treated as an agreement independent of the other terms of the contract—True. [Section 16]
42. True/ False: A decision by the arbitral tribunal that the contract is null and void shall not entail ipso jure the invalidity of the arbitration clause—True. [Section 16]
43. True/ False: A plea that the arbitral tribunal does not have jurisdiction shall be raised not later than the submission of the statement of defence—True. [Section 16]
44. Section 18—Equal treatment of parties.
45. True/ False: The arbitral tribunal shall not be bound by the Code of Civil Procedure, 1908 or the Bharatiya Saakshya Adhiniyam, 2023 (BSA)—True. [Section 19]
46. The arbitral proceedings in respect of a particular dispute shall commence on the date on the date on which a request for that dispute to be referred to arbitration is received by the—Respondent. [Section 21].
47. The statement of claim and defence shall be completed within a period of ______months from the date the arbitrator received notice, in writing of their appointment—6-Months.
48. The Arbitral Tribunal may appoint expert under Section_______of the ACA—Section 26.
49. ‘Ex aequo et bono’ is a Latin legal term which means—”according to what is right and good”.
50. ‘Amiable compositeur’ is a method of dispute resolution in arbitration where the arbitrator is not bound by strict legal rules and can decide based on principles of equity, fairness, and justice—True.
51. Which Section of ACA, 1996 deals with time-limit for making arbitral award—Section 29-A [added by 2015/19 Amendment]
52. The award in “domestic (i.e. other than international) arbitration” shall be made by the arbitral tribunal within a period of ________________ months from the date of completion of pleadings—Twelve months. [Section 29A. The parties may, by consent, extend a further period not exceeding six months.]
53. Termination of Arbitrator’s Mandate—If the award is not made within 12-months and the extended period of 6 months, the mandate of the arbitrator shall terminate unless the Court has  extended the period—True.
54. Termination of Arbitrator’s Mandate—If the award is not made within 12-months and the extended period of 6 months, the arbitrator shall become functus Officio—True.
55. Substituted Arbitrator: Once the maximum 18-month period for delivering an arbitral award has expired, only a substituted arbitrator can continue the proceedings when any further extension of time is granted—True.
56. Disposal of Extension Application: An application for extension of period of arbitral tribunal shall be disposed-off by the Court as expeditiously as possible within a period of __________days from the date of service of notice on the opposite party—60 days. [S.29-A(9)]
57. The award in the matter of “international commercial arbitration” may be made as expeditiously as possible and endeavor may be made to dispose of the matter within a period of _________ months from the date of completion of pleadings—Twelve months. [Section 29A]
58. Additional Fees for Early-Disposal: If the arbitral award is made within a period of six months from the date the arbitral tribunal enters upon the reference, the arbitral tribunal shall be entitled to receive such amount of additional fees as the parties may agree—True.
59. Penalty for Delay: If the Court finds that the arbitral proceedings have been delayed for the reasons attributable to the arbitral tribunal, then, it may order reduction of fees of arbitrator(s) by not exceeding _______for each month of such delay—5%.
60. Fast track Procedure: The award under fast track procedure shall be made within a period of ______months from the date the arbitral tribunal enters upon the reference—Six Months [In case of normal arbitral proceeding the period is 12-months]
61. Forms and contents of Arbitral Award is dealt with under Section—Section 31.
62. Interest Rate on Award: A sum directed to be paid by an arbitral award shall, unless the award otherwise directs, carry interest at the rate of ________ % higher than the current rate of interest prevalent on the date of award, from the date of award to the date of payment—2%.
63. Section 33— Correction and interpretation of award; additional award.
64. The party may request for correction/ interpretation of the award or additional award within_______daysfrom the receipt of the arbitral award—30 Days. [Section 33]
65. If an application is moved for correction/ interpretation of the award, it shall dispose-off such application within___________days from the receipt of the request and the interpretation shall form part of the arbitral award—30 Days. [Section 33]
66. Suo Motu Correction: The arbitral tribunal may correct any error in the award on its own initiative within _________days from the date of the arbitral award—30 Days. [Section 33]
67. Omission of Claim: A party to the arbitration agreement with notice to the other party, may request, within _________ days from the receipt of the arbitral award, the arbitral tribunal to make an additional arbitral award as to claims presented in the arbitral proceedings but omitted from the arbitral award—30 Days. [Section 33].
68. Additional Award for Omitted Claim: If an application is moved for an additional arbitral award as to claims presented in the arbitral proceedings but omitted from the arbitral award, it shall dispose-off such application within________days from the receipt of the request and the interpretation shall form part of the arbitral award—60 Days. [Section 33]
69. Which Section of the ACA provides as to grounds for setting aside arbitral award—Section 34.
70. As per Section ______of the ACA, an arbitral award shall be final and binding on the parties and persons claiming under them respectively—Section 35.
71. True/ False: The arbitral tribunal shall have a lien on the arbitral award for any unpaid costs of the arbitration— True. [Section 39]
72. Under which Section of ACA, the arbitral tribunal shall have a lien on the arbitral award for any unpaid costs of the arbitration—Section 39.
73. True/ False: Arbitration agreement not to be discharged by death of party thereto—True. [Section 40]
74. The arbitrator, the arbitral institution and the parties to the arbitration agreement shall maintain confidentially of all arbitral proceedings except award where its disclosure is necessary for the purpose of—Implementation and enforcement of award [Section 42-A]
75. Whether, the Limitation Act, 1963 shall apply to arbitrations as it applies to proceedings in court—Yes. [Section 43]
76. Where the Court orders that an arbitral award be set aside, for the commencement of the proceedings (including arbitration) with respect to the dispute so submitted, the period between the commencement of the arbitration and the date of the order of the Court shall be—Excluded. [Section 43]
77. Section 43-B of ACA deals with the—Establishment of Arbitration Council of India (ACI).
78. Provision as to establishment of Arbitration Council of India was inserted in the year 2019 which became effective from—12-10-2023).
79. Chairperson of the ACI—A person, who has been- (i) has been a Judge of the Supreme Court or, (ii) has been Chief Justice of a High Court or, (iii) has been a Judge of a High Court or (iv) has been an eminent person, having special knowledge and experience in the conduct or administration of arbitration, to be appointed by the Central Government in consultation with the Chief Justice of India.
80. Tenure of ACI Members—The Chairperson and Members of the Council, other than ex officio Members, shall hold office as such, for a term of ______ years from the date on which they enter upon their office—Three Years.
81. The Chairperson of the ACI shall hold office upto the age of ______ years—70-Years.
82. The Members (except ex-officio members) of the ACI shall hold office upto the age of ______ years—67-Years.
83. The Chairperson or the Full-time or Part-time Member may, by notice in writing, under his hand addressed to the Central Government, resign his office with _______months notice period—3- Months.
84. No second appeal shall lie from an order passed in appeal under this section, but nothing in this section shall affect or take away any right to appeal to the Supreme Court—True. [Section 50]
85. Which Part of the ACA deals with ‘Conciliation’—Part III.
86. True/ False: Conciliation proceedings, shall commence when the other party—Accepts in writing the invitation to conciliate. [Section 62]
87. True/ False: If the other party to the intended conciliation rejects the invitation, there will be no conciliation proceedings—True. [Section 62]
88. If the party initiating conciliation does not receive a reply within ­­­­­­­­_________ days from the date on which he sends the invitation, or within such other period of time as specified in the invitation, he may elect to treat this as a rejection of the invitation to conciliate and if he so elects, he shall inform in writing the other party accordingly—30-Days. [Section 62]
89. True/ False: There shall be one conciliator unless the parties agree that there shall be two or three conciliators—True.
90. The conciliator is not bound by the Code of Civil Procedure, 1908 or the Bharatiya Sakshya Adhiniyam, 2023—True. [Section 66]
91. Proposal by Conciliator—The conciliator may, at any stage of the conciliation proceedings, make proposals for a settlement of the dispute. Such proposals need not be in writing and need not be accompanied by a statement of the reasons therefor—True. [Section 67]
92. The conciliator may invite the parties to meet him or may communicate with them—Orally or in writing. [Section 69]
93. The Conciliator may meet or communicate with the parties together or with each of them—Separately. [Section 69]
94. True/ False: When the conciliator receives factual information concerning the dispute from a party, he shall disclose the substance of that information to the other party in order that the other party may have the opportunity to present any explanation which he considers appropriate—True. [Section 70]
95. True/ False: When a party gives any information to the conciliator subject to a specific condition that it be kept confidential, the conciliator shall not disclose that information to the other party—True. [Section 70]
96. Each party may, on his own initiative or at the invitation of the conciliator, submit to the conciliator suggestions for the settlement of the dispute. It is so provided under Section_______of ACA—Section 72.
97. Section 73 of the ACA deals with—Settlement Agreement.
98. The positive outcome of the conciliation proceeding culminate into an agreement known as—Settlement Agreement. [Section 73]
99. The “settlement agreement” shall have the same status and effect as if it is an arbitral award—True. [Section 74]
100. Section_______deals with termination of conciliation proceedings—Section 75.
101. Confidentiality as to conciliation shall be maintained except where its disclosure is necessary for purposes of—Implementation and enforcement. [Section 75]
102. Resort to arbitral or judicial proceedings—The parties shall not initiate, during the conciliation proceedings, any arbitral or judicial proceedings in respect of a dispute that is the subject matter of the conciliation proceedings except that a party may initiate arbitral or judicial proceedings where, in his opinion, such proceedings are necessary for preserving his rights—True. [Section 77]
103. The conciliator under ACA may direct each party to deposit an amount as an advance for the costs which he expects will be incurred in the conciliation proceedings. If the required deposits are not paid in full by both parties within _______ days, the conciliator may suspend the proceedings or may make a written declaration of termination of the proceedings to the parties, effective on the date of that declaration—30 Days. [Section 79]
104. True/ False: The conciliator shall not act as an arbitrator or as a representative or counsel of a party in any arbitral or judicial proceeding in respect of a dispute that is the subject of the conciliation proceedings—True. [Section 80]
105. True/ False: The conciliator shall not be presented by the parties as a witness in any arbitral or judicial proceedings—True. [Section 80]
106. No Admissibility of Conciliation Proceeding as evidence in other proceedings— True/ False: The parties shall not rely on or introduce as evidence in arbitral or judicial proceedings proposals made by the conciliator—True. [Section 81]
     [1] . to allow courts to grant an unconditional stay on award enforcement if a prima facie case of fraud or corruption is made out.
     [2] . to remove the Eighth Schedule’s specific qualifications for arbitrators, vesting the power to define qualifications with the Arbitration Council of India.
      

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