Question

The power of court to refer parties for arbitration would and must necessarily include, imply and inhere in it ______.

• A. the power and jurisdiction to advice the parties
• B. the power and jurisdiction to review the award
• C. the power and jurisdiction to appoint the arbitrator
• D. the power and jurisdiction to call for another arbitrator

Answer 1

The correct option is C the power and jurisdiction to appoint the arbitrator

This has been covered under the Section 8 of the Arbitration and Conciliation Act, 1996. The language of section is peremptory in nature. Therefore, in cases where there is an arbitration clause in the agreement, it is obligatory for the court to refer the parties in arbitration in terms of their arbitration agreement and nothing remains to be decided in the original action after such an application is made except to refer the dispute to an arbitrator.