Arbitration and Conciliation Act Section 32 — Termination of proceedings

CHAPTER VI — Making of arbitral award and termination of proceedings

Civil

Summary

Sub-section (1) states that arbitral proceedings come to an end in one of two ways: either through the final arbitral award, or through an order for termination issued by the arbitral tribunal under sub-section (2).

Sub-section (2) lists the three situations in which the arbitral tribunal must issue an order terminating the proceedings. Under clause (a), this happens when the claimant withdraws their claim, unless the respondent objects to the termination and the tribunal finds that the respondent has a legitimate interest in getting a final settlement of the dispute. Under clause (b), termination occurs when both parties agree to end the proceedings. Under clause (c), termination happens when the tribunal finds that continuing the proceedings has become unnecessary or impossible for any other reason.

Sub-section (3) provides that, subject to section 33 and sub-section (4) of section 34, the arbitral tribunal's mandate ends when the arbitral proceedings are terminated.

Official Text

(1) The arbitral proceedings shall be terminated by the final arbitral award or by an order of the arbitral tribunal under sub-section (2).

(2) The arbitral tribunal shall issue an order for the termination of the arbitral proceedings where—

(a) the claimant withdraws his claim, unless the respondent objects to the order and the arbitral tribunal recognises a legitimate interest on his part in obtaining a final settlement of the dispute,

(b) the parties agree on the termination of the proceedings, or

(c) the arbitral tribunal finds that the continuation of the proceedings has for any other reason become unnecessary or impossible.

(3) Subject to section 33 and sub-section (4) of section 34, the mandate of the arbitral tribunal shall terminate with the termination of the arbitral proceedings.