New Enroll in our GIC Finance Online Course Here!

    Register

    Question

    Under the Arbitration and Conciliation Act, 1996, what

    happens if a party knows that a provision from which the parties may derogate or a requirement under the arbitration agreement has not been complied with, but still proceeds with the arbitration without stating their objection?
    A The arbitration is automatically invalidated Correct Answer Incorrect Answer
    B The party loses the right to object to the non-compliance Correct Answer Incorrect Answer
    C The arbitration agreement is considered null and void Correct Answer Incorrect Answer
    D The non-compliance is automatically rectified Correct Answer Incorrect Answer
    E The party must wait for the arbitrator's decision before raising an objection. Correct Answer Incorrect Answer

    Solution

    Section 4 Waiver of right to object: A party who knows that—(a) any provision of this Part from which the parties may derogate, or (b) any requirement under the arbitration agreement, has not been complied with and yet proceeds with the arbitration without stating his objection to such non-compliance without undue delay or, if a time limit is provided for stating that objection, within that period of time, shall be deemed to have waived his right to so object.

    Practice Next

    Relevant for Exams: