Award Relying on Evidence Filed After Conclusion of Arguments is Patently Illegal

The Bombay High Court has ruled that an award that relies on documents produced after the conclusion of arguments is patently illegal.

Facts

Land owned by Mr Gupta (“the Claimant”) was acquired by the National Highways Authority of India (“NHAI”) under the provisions of the National Highways Act 1956 (“NH Act”). Dissatisfied
with the quantum of compensation awarded, the Claimant filed an application under §3G(5) of the NH Act for an arbitrator to determine the compensation to be paid. The Arbitrator passed an
award enhancing the compensation amount.

The award was challenged before the Principal District Judge, Nagpur by NHAI under §34 of the Arbitration & Conciliation Act 1996 (“Act”) on the ground that the basis of the award was 2 sale
deeds that were produced after the proceedings were closed and the award reserved. The §34 application was rejected and NHAI appealed to the Bombay High Court under §37 of the Act.

Decision…

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