Question

The provision of section $8$, Arbitration and Conciliation Act, $1996$ are ________________.

• A. pre-emptory
• B. directory
• C. discretionary
• D. optional

Answer 1

The correct option is A pre-emptory

The term 'pre-emptory' means not open to appeal and is final. 'Directory' means the provision is directing to do so and 'Discretionary' means based on the freedom to decide. Section $8$ of the Arbitration and Conciliation Act, $1996$ talks about power to refer parties to arbitration where there is arbitration agreement. This means it is peremptory in nature. It provides that a judicial authority shall, on the basis of the arbitration agreement between the parties, direct the parties to go for arbitration.