Arbitral Award explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
An arbitral award passes through four stages in Part I of the Act: it is made (Chapter VI, sections 28 to 33), it may be challenged (Chapter VII, section 34), it becomes final (section 35) and it is enforced (section 36). This overview takes each section briefly, as per the India Code consolidated text consulted, and links the section-wise article for each; later amendments should be checked. If you hold an award or have one against you, our legal dispute resolution team can map the dates that now matter.
In an arbitration other than an international commercial arbitration the award shall be made within twelve months from the completion of pleadings under section 23(4) (section 29A(1)). The award must be in writing, signed, reasoned unless agreed otherwise, dated, and a signed copy delivered to each party (section 31). A party has thirty days to ask for a correction (section 33) and three months to apply to set the award aside (section 34(3)). Once that time has expired, the award is enforced in the same manner as a decree (section 36(1)).
The periods at a glance
| Step | Period as printed | Provision |
|---|---|---|
| Award in a matter other than international commercial arbitration | Twelve months from completion of pleadings under section 23(4) | 29A(1) |
| Extension by consent of the parties | Not exceeding six months | 29A(3) |
| Award under the fast track procedure | Six months from the date the tribunal enters upon the reference | 29B(4) |
| Request for correction or interpretation | Thirty days from receipt of the award, unless another period is agreed | 33(1) |
| Correction by the tribunal on its own initiative | Thirty days from the date of the award | 33(3) |
| Request for an additional award | Thirty days from receipt of the award | 33(4) |
| Additional award by the tribunal | Sixty days from receipt of the request | 33(5) |
| Application to set aside | Three months from receipt of the award, with a further thirty days on sufficient cause | 34(3) |
Sections 28 and 29: what the tribunal applies and how it decides
Where the place of arbitration is in India, a tribunal in an arbitration other than an international commercial arbitration decides in accordance with the substantive law for the time being in force in India (section 28(1)(a)). In an international commercial arbitration it applies the rules of law designated by the parties and, failing designation, the rules of law it considers appropriate (section 28(1)(b)). It decides ex aequo et bono or as amiable compositeur only if the parties have expressly authorised it (section 28(2)), and in all cases takes into account the terms of the contract and trade usages applicable to the transaction (section 28(3)).
With more than one arbitrator, any decision is made by a majority of all members unless otherwise agreed; questions of procedure may be decided by the presiding arbitrator if authorised (section 29). See sections 28 and 29.
Sections 29A and 29B: time limit and fast track
Section 29A(1), shown as substituted by Act 33 of 2019, s. 6, with effect from 30-8-2019, fixes twelve months from completion of pleadings for matters other than international commercial arbitration. Its proviso says an award in an international commercial arbitration may be made as expeditiously as possible, with an endeavour to dispose of the matter within twelve months.
If the award is not made within the period or the extended period, the mandate of the arbitrator(s) terminates unless the Court has extended the period, before or after its expiry (section 29A(4)). While extending, the Court may reduce the arbitrators' fees by not exceeding five per cent. for each month of delay attributable to the tribunal, after hearing the arbitrator, and may substitute one or all of the arbitrators (section 29A(4), (6)). An extension is granted only for sufficient cause (section 29A(5)). The text prints a separate entry for Jammu and Kashmir and Ladakh under this section. See section 29A.
Under section 29B the parties may agree in writing to a fast track procedure decided on written pleadings, documents and submissions, with an award within six months. See section 29B.
Section 30: settlement
If the parties settle during the proceedings, the tribunal terminates the proceedings and, if requested by the parties and not objected to by the tribunal, records the settlement as an arbitral award on agreed terms. That award has the same status and effect as any other arbitral award on the substance of the dispute (section 30(4)). See section 30.
Sections 31 and 31A: form, interest and costs
An award shall be in writing and signed by the members of the tribunal; with more than one arbitrator the signatures of the majority suffice so long as the reason for any omitted signature is stated (section 31(1), (2)). It states its reasons unless the parties have agreed that none are to be given or it is an award on agreed terms (section 31(3)), states its date and the place of arbitration (section 31(4)), and a signed copy is delivered to each party (section 31(5)). The tribunal may make an interim award (section 31(6)).
Interest has two parts. For the period from the cause of action to the award, the tribunal may include interest at such rate as it deems reasonable, unless otherwise agreed (section 31(7)(a)). From the date of the award to payment, the sum carries interest at two per cent. higher than the current rate of interest prevalent on the date of award, unless the award otherwise directs (section 31(7)(b)); the Explanation takes "current rate of interest" from clause (b) of section 2 of the Interest Act, 1978. See section 31.
Costs are fixed in accordance with section 31A, whose general rule is that the unsuccessful party is ordered to pay the costs of the successful party, subject to a different order for reasons recorded in writing. See section 31A.
Sections 32 and 33: termination and correction
The proceedings end with the final award or with an order of termination, and the tribunal's mandate ends with them, subject to section 33 and section 34(4) (section 32). Section 33 lets a party, with notice to the other, ask the tribunal to correct computation, clerical or typographical errors and, if the parties so agree, to interpret a specific point; and to make an additional award on claims presented but omitted. See sections 32, 33 and 35.
Section 34: recourse against the award
Recourse to a Court against an award may be made only by an application for setting aside under section 34. The grounds, the time limit and the prior notice requirement are in our explainer on section 34. Where a request under section 33 was made, the three months run from the date that request was disposed of by the tribunal (section 34(3)).
Sections 35 and 36: finality and enforcement
Subject to Part I, an arbitral award is final and binding on the parties and persons claiming under them (section 35). Where the time for an application under section 34 has expired, the award is enforced in accordance with the Code of Civil Procedure, 1908 in the same manner as if it were a decree of the court (section 36(1)). Filing a section 34 application does not by itself make the award unenforceable; a stay needs a separate application and an order under section 36(3). See section 36.
Printing points in the text
- Section 28(2) prints "ex aequoet bono".
- In section 31, an Explanation on the meaning of "costs", beginning "For the purpose of clause (a)", is printed after sub-section (8), and the footnotes on that page are numbered 1, 1 and 2 against markers 1, 2 and 3.
- Section 36(1) prints "decree of the court" with a small "c".
An example
Bhima Constructions receives a signed copy of an award against Kosi Infra on a given date. Kosi asks the tribunal within thirty days to correct an arithmetical error under section 33(1)(a). Under section 34(3), Kosi's three months for a setting-aside application then run from the date the tribunal disposes of that request, not from the date it first received the award.
Need help after an award?
The steps after an award are short and dated. Our legal dispute resolution service checks the award against section 31, prepares a section 33 request where one is open, and advises on enforcement or challenge within the periods above.
Key takeaways
- Twelve months from completion of pleadings is the period for the award in matters other than international commercial arbitration (section 29A(1)).
- The award must be written, signed, reasoned unless agreed otherwise, dated and delivered (section 31).
- Post-award interest is two per cent. higher than the current rate, unless the award otherwise directs (section 31(7)(b)).
- Thirty days for correction; three months, plus thirty days on sufficient cause, to apply to set aside.
- Enforcement follows the Code of Civil Procedure, 1908 as if the award were a decree (section 36(1)).
Read next
- Section 34: challenge to an arbitral award
- Section 36 and cross-border award enforcement
- Section 37: appealable orders
- Execution petition under the Code of Civil Procedure
Disclaimer: Based on the India Code consolidated text of the Arbitration and Conciliation Act, 1996, whose footnotes show amendments up to Act 3 of 2021 and a latest date of 12 October 2023, as consulted on 2 October 2026. Rules, regulations and notifications under the Act, later amendments and the commencement of the Mediation Act, 2023 should be checked. This article is general information, not legal advice; check the official text before acting.