Within the period of time agreed upon by the parties or determined by the arbitral tribunal, the claimant shall state the facts supporting his claim, the points at issue and the relief or remedy sought, and the respondent shall state his defence in respect of these particulars, unless the parties have otherwise agreed as to the required elements of those statements.

1. CONDUCT OF ARBITRAL PROCEEDING- PART 2
S.23- Statements of claim and defence
STATEMENT: (1) Within the period of time agreed upon by the parties or determined by the
arbitral tribunal, the claimant shall state the facts supporting his claim, the points at issue and
the relief or remedy sought, and the respondent shall state his defence in respect of these
particulars, unless the parties have otherwise agreed as to the required elements of those
statements.
(2) The parties may submit with their statements all documents they consider to be relevant
or may add a reference to the documents or other evidence they will submit.
(3) Unless otherwise agreed by the parties, either party may amend or supplement his claim
or defence during the course of the arbitral proceedings, unless the arbitral tribunal considers
it inappropriate to allow the amendment or supplement having regard to the delay in making
it.
FIXED TIME SCHEDULE: The provisions in this sub-section are aimed at restricting the
parties to the time frame agreed to between themselves, failing which by the arbitral tribunal.
It is incumbent upon the party making the claim to state:
 The facts supporting the claim
 The points at issue
 The relief or remedy sought
On the receipt of statement of claim from the claimants, the respondents shall state:
 The defence in respect of each of the claims made against him
 Any other information/statement rebutting the claim
The foregoing stipulations have to be complied with by the parties, unless the parties have
otherwise agreed as to the required elements of those statements.
PLEADINGS: Arbitrators should realise that pleadings are of the greatest importance in
narrowing the issues between the parties and reducing the ultimate cost. In the case of In Re.
Crighton and Law Car & General Insurance Co. Ltd. (1910), the solicitors of both the parties
attended before the arbitrator, who on their suggestion directed points of claim and defence.
These were delivered. The arbitrator eventually held a sitting and one party desired to amend
his points of dispute so as to add a new ground. Held that the arbitrator had a discretion to
allow or refuse to allow the amendment. However, if the parties have not placed any
restriction regarding add, alter, delete, substitute, amend to any part of the statements then,
 Either party may amend or supplement his claim of defence
 Such amendment or supplementing of the claim/defence can be made only if the
arbitral proceedings are still continuing
 The amendment may be allowed by tribunal, if such is made by request without any
delay.

2. But, in the case of Maharashtra Industries Dev. Corp. Ltd. vs. Goverdhani Const. Co. (2008),
the court still left the discretion of amendment with the tribunal and reaffirming the law laid
down in Crighton case (supra).
S.24- Hearings and written proceedings
STATEMENT: (1) Unless otherwise agreed by the parties, the arbitral tribunal shall decide
whether to hold oral hearings for the presentation of evidence or for or an argument, or
whether the proceedings shall be conducted on the basis of documents and other materials:
Provided that the arbitral tribunal shall hold oral hearings, at an appropriate state of the
proceedings, on a request by a party, unless the parties have agreed that no oral hearing shall
be held.
(2) The parties shall be given sufficient advance notice of any hearing and of any meeting of
the arbitral tribunal for the purposes of inspection of documents, goods or other property-
(3) All statements, documents or other information supplied to, or applications made to the
arbitral tribunal by one party shall be communicated to the other party, and any expert report
or evidentiary document on which the arbitral tribunal may rely in making its decision shall
be communicated to the parties.
DISPENSING ORAL HEARING: Joint reading of section 19 and section 24(1) makes it
clear to have an oral hearing at the request of the parties and becomes duty of the arbitrator to
provide for the same as been affirmed in the case of ADV Consultants vs. Pioneer Equity
Trade (India) Pvt. Ltd.(2009). An arbitral tribunal is obliged to grant oral hearing, at an
appropriate stage of the proceedings, if a request is made by either of the parties, unless the
parties had agreed that no oral hearing shall be held. If the arbitral tribunal rejects the request
of the petitioner for allowing oral hearing on the ground that it can be allowed only if agreed
to by the other party, then award made by the arbitral tribunal would be set aside as observed
in case of Rakesh Kumar vs. State of H.P. (2005).
STEPS TO BE FOLLOWED: The steps as following be followed during arbitration:
 Fixing the procedure
 Defining the issues
 Production and preparation of the documents
 Interim protection orders
 Orders for security
 Arranging the hearing
 Investigation of facts and law; the hearing
 The decision
 The award
 Appeal proceedings
MANAGING HEARING: An arbitrator is a master of procedure is a general proposition. It is
subject always to any restriction imposed upon him by the arbitration agreement and to any
constraints imposed by the mandatory requirements of the Act. The tribunal is entitled to
avoid the unnecessary delay and expense that would be caused by such an approach. The

3. tribunal should should take a grip on the proceedings and indicate to the parties those areas
on which it particularly wishes to be addressed and those which it does not consider relevant
to the real issue of the dispute. He must always bear in mind the possibility that the parties,
may prefer and guide and cheap resolution of their differences to a meticulous, time-
consuming and expensive search for perfect justice. It has the duty of the arbitrator to inform
opponent of communications of the part. Proviso to section 24(1) provides that if the parties
before the arbitral award seek to lead oral evidence it must be granted as the expression is
“shall hold oral hearing” at the request of parties. The tribunal has a discretion as to whether
any party or witness is to be examined on oath or affirmation and has power to administer the
oath or affirmation itself. This is subject to agreement otherwise by the parties. If no
objection is taken to witness giving unsworn evidence then the objection may have been
waived.
S.25-Default of a party
STATEMENT: Unless otherwise agreed by the parties, where, without showing sufficient
cause -
(a) The claimant fails to communicate his statement of claim in accordance with subsection
(1) of section (2), the arbitral tribunal shall terminate the proceedings;
(b) The respondent fails to communicate his statement of defence in accordance with sub-
section (1) of section 23, the arbitral tribunal shall continue the proceedings without treating
that failure in itself as an admission of the alienations by the claimant;
(c) A party fails to appear a tan oral hearing or to produce documentary evidence, the arbitral
tribunal may continue the proceedings and make the arbitral award on the evidence before it.
ARBITRATOR POWER TO PROCEED: Where a party did not appear on the adjourned date
in spite of a note by the arbitrator in the minutes of the hearing that if the party doesn’t appear
on the appointed date and time, the hearing would proceed ex parte and no separate notice is
given, the ex parte award, in such a case is legal has been stated in case of Nagasirinivasulu
vs. GLADA Finance Ltd. (2009). A party who, though repeatedly written to, doesn’t appear
before the arbitrator and allows the proceedings to go ex parte, cannot later on say that he was
not given the opportunity of being heard. If a party shows sufficient cause for his non-
appearance before the arbitrator, the court will set aside the award passed ex-parte as stated in
case of H.C. Whitehouse vs. Kahn Kahn and Co. (1914). In the case of State of U.P. vs.
Combined Chemicals (2011), the appellant sought adjournment on the ground that he had
filed an appeal against the order of the trial court on the question of maintainability of
petition, the arbitrator granted adjournment but the appellant failed to obtain stay order from
the appellant court and continued to abstain from the arbitral proceedings, it was held that the
arbitrator was justified in proceeding ex parte against such party.
In the case of Mordue vs. Parmer (1871), it was held that an arbitrator having signed his
award is functus officio and cannot alter his award and cannot alter the slightest error in it,
even though such error has arisen from the mistake of a clerk in copying the draft. The proper
course in such was to obtain an order to refer the award back to the arbitrator.
TERMINATION OF PROCEEDING: Section 25(a) and 32(2) (c) are read conjointly it
would lead to the irresistible conclusion that the arbitrator can terminate the proceeding if the

4. claimant fails to communicate his statement of claim. In the case of Mohan Singh vs.
International Authority of India (1997), the Supreme Court observed that, the word “shall”
though prima facie gives the impression of being of mandatory character, it requires to be
considered in the light of the intention of the legislature by carefully attending to the scope of
the statute, its nature and design and the consequences that would flow from the construction
thereof one way or the other. It must constrained by the combination of the essential
ingredients of public and general convenience and the provisions thus be interpreted
harmoniously to supress public mischief and promote public justice.
The basic principle of the settlement of the dispute is that the arbitrator should know as to
what is the claim of the claimant and as to what is the standoff the respondent and what are
the factual and legal issues involved in the matter. An arbitral tribunal can also recall the
order of termination of the proceeding if done with a due cause and found merit in the case.
S. 26-Expert appointment by arbitral tribunal
STATEMENT: (1) Unless otherwise agreed by the parties, the arbitral tribunal may-
a) Appoint one or more experts to report to it on specific issues to be determined by the
arbitral tribunal, and
b) Require a party to give the expert any relevant information or to produce, or to
provide access to, any relevant documents, goods or other property for his inspection.
(2) Unless otherwise agreed by the parties, if a party so requests or if the arbitral tribunal
considers it necessary, the expert shall, after delivery of his written or oral report, participate
in an oral hearing where the parties have the opportunity to put questions to him and to
present expert witnesses in order to testify on the points at issue.
(3) Unless otherwise agreed by the parties, the expert shall, on the request of a party, make
available to that party for examination all documents, goods or other property in the
possession of the expert with which he was provided in order to prepare his report.
APPOINTMENT OF EXPERT: In the absence of an agreement between the parties on part
or whole of the subject-matter of the dispute, the arbitral tribunal may:
 Appoint one or more experts
 Ask such experts to determine specific issues
 Deliberate upon such issues
Further, the tribunal to facilitate the expert may direct the party to:
 Give the expert any relevant information
 Produce and provide access to all relevant information/documents/goods etc. for
inspection
EVIDENCE AND EXPERT: If the parties have failed to devise an agreement, the tribunal on
request of written or oral request of expert shall:
 Ask the expert to participate in the oral arbitral proceedings
 Permit the parties to put questions to such experts who had made the report
 Permit the parties to present their own expert witnesses to have viewpoints over the
issue.

5. Expert advice is almost invariably given in the form of a written report which is produced
prior to the hearing and on which the expert is cross examined at the hearing. As with factual
witnesses, the direction should specify a date on which the reports are to be produced or the
date should be capable of being precisely determined by reference to other events in the
arbitration.
It is permissible to an arbitrator to take assistance in technical matters, in so far as such
assistance is necessary, for the discharge of his duties.in the case of Abdul Halim vs. Ismail
Momim (1925), it was observed by the court that, if an arbitrator had asked some persons
about the questions of law, or if he had consulted them as to the style, syntax or grammar of
is award, he was quite within his rights to do so, but if he arrived at any findings of fact by
consulting outsiders and allowed the persons sitting with him to affect his decision as
assessors, then it must be held that there had been misconduct. In the case of Ramesh
Chandra Agrawal vs. Regency Hospital Ltd. (2009), the Supreme Court held that, in the cases
where science involved is highly specialized, expert’s role can’t be disputed. Expert has to be
put before court all materials with necessary scientific criteria for resting accuracy of
conclusions together with reasons, so that court, although not an expert, may form its own
independent judgement.
S. 27-Court assistance in taking evidence
STATEMENT: (1) The arbitral tribunal, or a party with the approval of the arbitral tribunal,
may apply to the court for assistance in taking evidence.
(2) The application shall specify-
a) The names and addresses of the parties and the arbitrators;
b) The general nature of the claim and the relief sought;
c) The evidence to be obtained, in particular, -
i. The name and address of any person to be beard as witness or expert witness and a
statement of the subject-matter of the testimony required;
ii. The description of any document to be produced or property to be inspected.
(3) The court may, within its competence and according to its rules on taking evidence,
execute the request by ordering that the evidence be provided directly to the arbitral tribunal.
(4) The court may, while making an order under sub-section (3), issue the same processes to
witnesses as it may issue in suits tried before it.
(5) Persons failing to attend in accordance with such process, or making any other default, or
refusing to give their evidence, or guilty of any contempt to the arbitral tribunal during the
conduct of arbitral proceedings, shall be subject to the like disadvantages, penalties and
punishments by order of the court on the representation of the arbitral tribunal as they would
incur for the like offences in suits tried before the court.
(6) In this section the expression “Processes” includes summonses and commissions for the
examination of witnesses and summonses to produce documents
EVIDENCE RECORD:
The assistance of the court for recording can be availed of in arbitral proceedings when:-

6. (i) The arbitral tribunal desires so
(ii) A party wishes so and the request is acceded to by the arbitral tribunal.
A request to the court for recording evidence may be made by:
(i) The arbitral tribunal
(ii) Any of the parties with the approval of the arbitral tribunal
If any witnesses is guilty of any contempt to the arbitrator he can be punished by the court.
There is no prescribed procedure for service of notice through the court under the act and thus
it should be served as prescribed in Civil Code. A tribunal doesn’t have the power to require
the attendance of a witness who refuses to attend and give evidence and then the tribunal may
be justified in making the adverse inference from his failure to do so. A party is free to use
courts procedure to compel his attendance.
PARTICUALRS REQUIRED: The arbitral tribunal of its own motion, or at request of the
parties to the arbitration, desirous of taking the assistance of the court in recording of
evidence and shall specify as follows:
(a) Names and addresses of the parties and the arbitrators
(b) General nature of claim and relief sought
(c) Evidence to be obtained including the names, addresses of the person and other
document relation to property etc.
PERMISSION OF ARBITRATOR FOR COURT APPROACH: As per subsection (3), court
assistance is only for the executing for the recording of the evidence as the court has no
power to direct evidence to be produced or recorded. It would be not proper on the part of an
arbitrator to disallow the request of a party for moving the court to take out summons for the
appearance of the witnesses, especially when it is very important for the case has been stated
in case of Lilit Madhvan vs. Building Committee, Council of Institute of Company Secretaries
of India (1995). The remedy available to the petitioner if the arbitral refuses, is that he can
file the objection under section 34. Rest, the Act is totally silent in the situation on such
refusal.
REFERENCES:
1. Markanda, P.C., Law relating to Arbitration and Concilation,8th Ed.(2012),Lexis Nexis,
Butterworths & Wadhwa, Nagpur
2. B.P. Saraf and M. Jhunjhunwala, Law of Arbitration and Conciliation (2000), Snow
White, Mumbai
3. Basu N.D., Law of Arbitration and Conciliation Law of India (2014),Universal Law
Publishers, Delhi