Awards in business law

1. BUSINESS LAW

2. ASSIGNMENT 2
Name : M. Varsha
Class : II B.Com ‘B’
Roll No : 18UR22
Submitted to : Ms. R. Murugalakshmi, M.Com (CA), PGDCA., M.Phil.,

3. AWARDS: [Sec.2(b)]
“An award is a final judgement of the
arbitrator’s or Umpire on all matters referred to them”. It
is binding in the same manner as the decision of the law
court.”

4. ESSENTIALS OF A VALID AWARD:
• It must be made in writing.
• It must follow the agreement and not purport to decide matter not within
agreement.
• It must be final and give a decision on all matters referred.
• It must be certain.
• It must be dated and signed by all the arbitrators.
• It must be legal.

5. MODIFICATION OR CORRECTION OF AN
AWARD:
Modification can be done either by court or inn some cases
by arbitrators or umpire. The arbitrator or umpire has no right to modify
or correct the award except the following:
a) where there is a clerical mistake in the award [Sec.3(b)].
b) where the award is remitted for reconsideration [Sec.16].

6. THE COURT MAY BY ORDER MODIFY OR
CORRECT AN AWARD IN THE FOLLOWING
CASES:
i) if an award deals with a matter that has not been referred to and that
matter can be separated, without upsetting award, or
ii) if there is an obvious error that can be corrected without upsetting
the award;
iii) if there is an accidental or clerical mistake.

7. REMITTING AN AWARD [Sec.16]
1. it means returning the award by the court to the arbitrators for reconsideration
upon which the court may think fit.
2. the court may remit the award:-
a) if the award has determined the matter that has not been referred.
b) if the award is so indefinite that it is impossible to execute it.
c) if there is an obvious objection to the legality of the award.
The court fixes the time limit within which the reconsideration is to completed if it is
not submitted within the prescribed time, it shall become void when it becomes void, the court may
supersede the arbitration agreement.

8. SETTING AN AWARD [Sec.30]
The court can set aside an award on the following grounds:
a) if the arbitrator or umpire has misconducted himself or proceedings i.e., moral misconduct
(corruption, fraud bias), or legal misconduct (failure to observe rules of natural justice).
b) if the award is made after the court superseding the arbitration agreement;
c) if the arbitrator or umpire has misapplied any law;
d) if the award is made after the arbitration proceedings have become invalid.
e) if the award is improperly procured or invalid,
f) if the award is based on the personal knowledge of the arbitrator.

9. PROCEDURE FOR SETTING ASSIDE AN
AWARD:
The court can set aside the award on suitable grounds on the application made by a
party within a period of 30 days from the date of filing the award.
The court will not set aside, even though there is a suitable reason to set it aside, if
a) application is made after 30 days of the commencement of the award.
b) the party applying is acquiesced with irregularities i.e., if the party has the knowledge of
irregularity and ye failed to object them.
c) party has accepted any benefit under the award even after having full knowledge of the
irregularities.

10. THANK YOU