Interpretation Of Contract Primarily A Matter For Arbitrator To Determine, Scope Of Section 34 Arbitration Act Limited: Delhi High Court

Interpretation Of Contract Primarily A Matter For Arbitrator To Determine, Scope Of Section 34 Arbitration Act Limited: Delhi High Court

Case: Raghunath Builders Pvt. Ltd. v. Anant Raj Limited

Coram: Justices Suresh Kumar Kait and Neena Bansal Krishna

Case No.: FAO (OS) (COMM) 220/2017

Court Observation: “…a change that has been brought in by the Amendment Act, 2015 is that the construction of the terms of a contract is primarily for an arbitrator to decide, unless the arbitrator construes the contract in a manner that no fair-minded or reasonable person would; in short that the arbitrator’s view is not even a possible view to take”

“The scope of grounds on which an Arbitral Award can be challenged under Section 34 of the Act is limited”. “…interpretation of a contract is a matter for the arbitrator to determine, even if it gives rise to determination of a question of law.”

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