The Arbitration Council of India

In one line

Part IA, sections 43A to 43M, inserted by the 2019 amendment and brought into force on 12 October 2023, establishes the Arbitration Council of India as a body corporate charged with promoting arbitration, grading arbitral institutions, and maintaining an electronic depository of awards.

What is in force, and what is not

State the position precisely, because it is easy to get wrong.

PART IA IS IN FORCE. Sections 43A to 43M were commenced on 12 October 2023 by notification S.O. 4486(E), and the Act's consolidated text carries the commencement note against the insertion.

SECTION 11(3A) IS NOT. Section 3 of the 2019 amendment would have inserted a section 11(3A) requiring the Supreme Court and the High Courts to designate arbitral institutions GRADED BY THE COUNCIL for the purpose of making appointments; it has not been brought into force, and the consolidated text of the Act prints no section 11(3A) at all.

THE EIGHTH SCHEDULE IS GONE. Section 43J as first enacted referred to the Eighth Schedule for the qualifications and experience of arbitrators; the 2021 amendment SUBSTITUTED section 43J so that the qualifications, experience and norms for accreditation are "such as may be specified by the regulations", and OMITTED the Eighth Schedule.

So the Council exists; the grading of institutions for court appointments does not operate; and the accreditation of arbitrators is left to regulations rather than to a statutory schedule.

Sections 43A and 43B: definitions and establishment

43A defines "Chairperson", "Council" and "Member", a Member including the Chairperson.

43B(1): the Central Government SHALL, by notification in the Official Gazette, ESTABLISH a Council to be known as the ARBITRATION COUNCIL OF INDIA to perform the duties and discharge the functions under this Act.

43B(2): the Council shall be A BODY CORPORATE, with PERPETUAL SUCCESSION AND A COMMON SEAL, with power to ACQUIRE, HOLD AND DISPOSE OF PROPERTY, movable and immovable, TO CONTRACT, and TO SUE AND BE SUED.

43B(3): the head office shall be at DELHI.

43B(4): it may, with the prior approval of the Central Government, establish offices at other places in India.

Section 43C: composition

The Council consists of SEVEN Members:

(a) a CHAIRPERSON who has been a JUDGE OF THE SUPREME COURT, a CHIEF JUSTICE OF A HIGH COURT, a JUDGE OF A HIGH COURT, or an EMINENT PERSON having special knowledge and experience in the conduct or administration of arbitration, appointed by the Central Government IN CONSULTATION WITH THE CHIEF JUSTICE OF INDIA;

(b) an EMINENT ARBITRATION PRACTITIONER with substantial knowledge and experience in institutional arbitration, domestic and international, NOMINATED by the Central Government;

(c) an EMINENT ACADEMICIAN with experience in research and teaching in arbitration and alternative dispute resolution laws, appointed by the Central Government IN CONSULTATION WITH THE CHAIRPERSON;