Kerala High Court clarifies that Section 5 of the Limitation Act is not applicable to condone delay in filing a plea challenging an arbitration award under Section 34 of the Arbitration Act

Kerala High Court clarifies that Section 5 of the Limitation Act is not applicable to condone delay in filing a plea challenging an arbitration award under Section 34 of the Arbitration Act

Case: Mathew P J v M/S. Cholamandalam Investment And Finance Co Ltd

Coram: Justice A. Badharudeen

Case No.: ARB.A NO. 26 OF 2023

Court Observation: “In so far as a challenge against arbitration award is concerned, the same is in accordance with Section 34 of the Arbitration and Conciliation Act, since a specific period of limitation is provided therein. Therefore, Section 5 of the Limitation Act has no application to condone delay in filing a petition under Section 34 of the Arbitration and Conciliation Act.”

“Thus, it is empathetically clear that when the special statute provides a specified period of limitation, Section 5 of the Limitation Act has no application. A conjoint reading of Section 34(3) of the Arbitration and Conciliation Act along with its proviso makes the position emphatically clear that challenge against an arbitral award beyond 4 months cannot be entertained, as the said claim is barred by limitation.”

“Therefore, this appeal filed challenging dismissal of the delay petition filed beyond the period provided under Section 34(3) read with its proviso and the delay in filing the Arbitration Appeal cannot be condoned.”

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Kerala High Court clarifies that Section 5 of the Limitation Act