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2007 (7) TMI 678

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..... s the execution. ( 2. ) We have heard Mr. Jayant Bhushan, Sr. Advocate learned counsel for the Appellant and Mr. Jayant Nath, Sr. Advocate learned counsel for the Respondent. ( 3. ) Briefly the facts are that the Appellant herein had done some interior work (renovations) in the office of the Respondent. The disputes were referred to the Arbitrator who delivered an Award on 22.10.1999. The Respondent herein filed an Application (Objections) under Section 34 of the Act before the learned Single Judge for setting aside the Award. The learned Single Judge modified the Award vide order dated 6.4.2004, in respect of claim No.7; set aside the Award in respect of claim No.3 and upheld rest of the Award. So practically the decree stood passed in f .....

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..... can it help the Respondent" ( 7. ) Learned counsel for the Appellant has cited the Judgment titled Vipul Aggarwal Vs. M/s Atul Kanodia and Co., reported in AIR 2004 Allahabad 205. Briefly the facts in the said case were that an Award was passed by the Arbitral Tribunal under the Arbitration and Conciliation Act, 1996 against the Petitioner. The Petitioner filed an application under Section 34 of the said Act for setting aside the Award but the application was dismissed. An appeal against the said order was also dismissed. The Petitioner filed special leave to appeal in the Hon'ble Supreme Court of India, which is pending. Meanwhile an application for executing the Award was filed. The Petitioner objected that the Appeal was pendi .....

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..... ection 34 has expired, or such application having been made, it has been refused, the award shall be enforced under the Code of Civil Procedure, 1908 (5 of 1908) in the same manner as if it were a decree of the Court ( 10. ) The learned counsel for the Respondent has given prominence to the words "this part" mentioned in Section 35 of the Act and wants it to be read as part-I of the entire Act, which also contains Section 37 of Chapter IX (Appeals) of the Act under which the Appeal was filed and is pending. In all there are 4 parts in the Act. We may mention here that the part-I of the Act has 10 Chapters. Chapter No.VIII deals with Finality and Enforcement of Arbitral Award, while Chapter IX of Part-I deals with appeals; part-II .....

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..... execution of a decree be stayed by reason only of an appeal having been preferred from the decree; but the Appellate Court may for sufficient cause order stay of execution of such decree. (2) Stay by Court which passed the decree.- Where an application is made for execution of an appealable decree before the expiration of the time allowed for appealing therefrom, the Court which passed the decree may on sufficient cause being shown order execution to be stayed. (3) No order for stay of execution shall be made under sub-rule (1) or sub-rule (2) unless the Court making it is satisfied - (a) that substantial loss may result to the party applying for stay of execution unless the order is made; (b) that the application has been made without unr .....

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..... manner of doubt that the very purpose of Arbitration and Conciliation Act, 1996 is to curb the procedural delays as are inherent in the routine civil disputes in the courts. In fact a summary proceedure has been envisaged in the Act in contradistinction to the Arbitration Act of 1940. ( 15. ) Now if the execution of the Decree followed by Award is to be delayed as suggested by learned counsel for the Respondent by treating the pendency of Appeal as automatic stay then the new legislation i.e., the Arbitration and Conciliation Act, 1996 instead of being an efficient and speedy remedy would be reduced to a remedy worst than what we already had, that is the civil suits and the deep routed procedural delays till passing of the decree and even .....

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