Whether procedural irregularity can be a ground to set aside an arbitral award?

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Hon’ble Delhi High in MMTC Limited v. Aust Grain Exports, OMP (Comm) 6/2022 has held that procedural irregularities like some of the Orders not been signed by the Arbitrator and one of the Arbitrators not being present during certain Arbitral Proceeding are such which do not affect the rights of the parties or cause denial of justice to any of the parties. These irregularities are not such which may affect the decision of the Arbitrators. The Arbitral Award can suffer from irregularity but the irregularity cannot be a ground to set aside the Award unless such irregularity goes to the root of the matter and shocks the conscience of the Court thus making the Award illegal.


[Shubham Budhiraja, +91-9654055315]

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