Question

Scope and object of section $8$ of the Arbitration and Conciliation Act, $1996$ is _________________.

• A. the same as that of section $34$ of the Arbitration Act, $1940$
• B. different from that of section $34$ of the Arbitration Act, $1940$
• C. same or different from that of section $34$ of the Arbitration Act, $1940$, depending on the facts and circumstances of the case
• D. either (A) or (C)

Answer 1

The correct option is B different from that of section $34$ of the Arbitration Act, $1940$

• Section 8 of the Arbitration and Conciliation Act, 1996, a judicial authority before which an action is brought in a matter which is the subject of an arbitration agreement shall, if a party so applies not later than when submitting his first statement on the substance of the dispute, refer the parties to arbitration. If the issue is pending before the judicial authority, an arbitration may be commenced or continued and an arbitral award made.
• Section 34 of Arbitration and Conciliation Act, 1940, says that where any party to an arbitration agreement or any person claiming under him commences any legal proceedings against any other patty to the agreement or any person claiming under him in respect of any matter agreed to be referred, any party to such legal proceedings may, at any time before filing a written statement or taking any other steps in' the proceedings, apply to the judicial authority before which the proceedings are pending to stay the proceedings; and if satisfied that there is no sufficient reason why the matter should not be referred in accordance with the arbitration agreement and that the applicant was, at the time when the proceedings were commenced. and still remains, ready and willing to do all things necessary to the proper conduct of the arbitration, such authority may make an order staying the proceedings.