Question

    Whether court has power to refer a dispute for arbitration when it is ongoing before it?

    A No Correct Answer Incorrect Answer
    B Yes, if a valid arbitration agreement exists Correct Answer Incorrect Answer
    C Yes if a valid arbitration agreement exists and parties have not appeared Correct Answer Incorrect Answer
    D Yes if a valid arbitration agreement exists and if a party to the arbitration agreement or any person claiming through or under him, so applies not later than the date of submitting his first statement on the substance of the dispute. Correct Answer Incorrect Answer

    Solution

    S. 8.Power to refer parties to arbitration where there is an arbitration agreement.— (1)A judicial authority, before which an action is brought in a matter which is the subject of an arbitration agreement shall, if a party to the arbitration agreement or any person claiming through or under him, so applies not later than the date of submitting his first statement on the substance of the dispute, then, notwithstanding any judgment, decree or order of the Supreme Court or any Court, refer the parties to arbitration unless it finds that prima facie no valid arbitration agreement exists.

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