The Arbitration and Conciliation Act, 1996, (AC Act) provides a legal framework for the enforcement of foreign arbitral awards given in countries that are signatories to either the 1927 Convention on the Execution of Foreign Arbitral Awards or the 1958 Convention on the Recognition and Enforcement of Foreign Arbitral Awards – better known as the Geneva Convention and the New York Convention.
One of the requirements for the enforcement of a foreign arbitral award in Indian courts is that it is made in accordance with either one of those two conventions.
The Supreme Court of India in the case of Bhatia International v Bulk Trading, AIR 2002 SC 1432, has held that an arbitration award not made in a convention signatory country will not be considered as a foreign award and, as such, will require a separate action to be filed on the basis of the award.
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Nishant Malhotra is an associate at Titus & Co. He can be contacted at nmalhotra@titus-india.com. Titus & Co Advocates is a full service law firm based in New Delhi. The firm can be reached at titus@titus-india.com.
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