The Indian Law regarding enforcement of foreign arbitration awards is contained in the Arbitration and Conciliation Act (AC Act), 1996, which incorporates provisions of the Geneva Convention of 1927 and the New York Convention of 1958.
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For a foreign arbitration award to be enforceable, it has to be made in a country that is a signatory to those conventions.
Section 44 of the AC Act defines a foreign arbitration award, also called a foreign award, as an arbitral award in a dispute arising out of a legal relationship between parties, whether contractual or not, and considered as a commercial relationship under Indian law.
In the case of Western Shipbreaking Corp vs Clare Haven Ltd, the Gujarat High Court held that for purposes of enforcement of a foreign award, every arbitral award made in a country to which one of the two conventions applies will be treated as a foreign award.
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Abhixit Singh is a partner at Titus & Co Advocates and may be contacted at asingh@titus-india.com. Niranjan Raj is an associate at Titus & Co, Advocates and may be contacted at niranjanraj@titus-india.com.
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