Arbitration Act 1940
Section 57
Conditions for Enforcement of Foreign Awards
(1) In order that a foreign award may be
enforceable under this Chapter, it shall be necessary that -
(a) the
award has been made in pursuance of a submission to arbitration, which is valid
under the law applicable thereto;
(b) the
subject matter of the award is capable of settlement by arbitration under the
law of India ;
(c) the
award has been made by the arbitral tribunal provided for in the submission to
arbitration or constituted in the manner agreed upon by the parties and in
conformity with the law governing the arbitration procedure;
(d) the award has
become final in the country in which it has been made, in the sense that it
will not be considered as such if it is open to opposition or appeal or if it
is proved that any proceedings for the purpose of contesting the validity of
the award are pending;
(e) the
enforcement of the award is not country to the public policy or the law of India .
Explanation : Without prejudice to the
generality of clause (e), it is hereby declared, for the avoidance of any
doubt, that an award is in conflict with the public policy of India if the making of the
award was induced or affected by fraud or corruption.
(2) Even if the conditions laid down in
sub-section (1) are fulfilled, enforcement of the award shall be refused if the
Court is satisfied that -
(a) the
award has been annulled in the country in which it was made;
(b) the
party against whom it is sought to use the award was not given notice of the
arbitration proceedings in sufficient time to enable him to present his case;
or that, being under a legal incapacity, he was not properly represented;
(c) the award does not
deal with the differences contemplated by or falling within the terms of the
submission to arbitration or that it contains decisions on matters beyond the
scope of the submission to arbitration : Provided that
if the award has not covered all the differences submitted to the arbitral
tribunal, to the Court may, if it thinks fit, postpone such enforcement or
grant it subject to such guarantee as the Court may decide.
(3) If the party against whom the award has
been made proves that under the law governing the arbitration procedure there
is a ground, other than the grounds referred to in clauses (a) and (c) of
sub-section (1) and clauses (b) and (c) of sub-section (2) entitling him to
contest the validity of the award, the Court may, if it thinks fit, either
refuse enforcement of the award or adjourn the consideration thereof, giving
such party a reasonable time within which to have the award annulled by the
competent tribunal.