"I realise that some of my criticisms may be mistaken; but to refuse to criticize judgements for fear of being mistaken is to abandon criticism altogether... If any of my criticisms are found to be correct, the cause is served; and if any are found to be incorrect the very process of finding out my mistakes must lead to the discovery of the right reasons, or better reasons than I have been able to give, and the cause is served just as well."

-Mr. HM Seervai, Preface to the 1st ed., Constitutional Law of India.

Monday, December 29, 2014

Award of Interest on Pre-Award Interest Payable under Award is Valid: SCI

Recently, a three judge Bench of the Supreme Court of India has held in Hyder Consulting (UK) Ltd. v. State of Orissa that a tribunal under Section 31(7) of the Arbitration and Conciliation Act, 1996 is empowered to award interest on any sum payable under the Award and such "sum" may include pre-award interest as well.

Interestingly, there are three individual opinions on the issue. While AM Sapre, J. concurred with SA Bobde, J., the former rendered a separate opinion. HL Dattu, CJI delivered the minority view.

The decision can be accessed from this link (pdf).

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