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Head Note

The Arbitration and Conciliation Act, 1996  - Section 4

Limitation Act applies to arbitrations as it applies to proceedings in courts - Claim made beyond period of limitation prescribed by Limitation Act - Has to be rejected by Arbitral Tribunal as barred by limitation.

The Arbitration and Conciliation Act, 1996  - Section 8 , Section 11 , The Limitation Act,1963  - Section 3 (2)

Limitation for such counter-claim should be computed as on the date of service of notice of such claim on claimant and not on the date of filing of the counter claim.

The Arbitration and Conciliation Act, 1996  - Section 8

Referring the parties to arbitration - Judicial authority referring the parties under Section 8 has no power to appoint an arbitrator - It may record consent of the parties to appoint an agreed arbitrator.

The Arbitration and Conciliation Act, 1996  - Section 11 , Indian Arbitration Act, 1940  - Section 20

Reference to arbitration - Can be, by parties themselves or by appointing authority named in the arbitration agreement or where the parties fail to concur in the appointment of arbitrator /s as required by the arbitration agreement, by the Court on application by a party to arbitration agreement.

The Arbitration and Conciliation Act, 1996  - Section 11

Arbitrator shall have jurisdiction to entertain any counter-claim, even though it was not raised at a stage earlier to the stage of pleadings before the Arbitrator.

The Arbitration and Conciliation Act, 1996  - Section 11

Reference to arbitration - Ad hoc arbitration relating only to existing disputes - In such arbitration the arbitrator cannot enlarge the scope of the arbitration by permitting either the claimant to modify or add to the claim or the respondent to make a counter claim - He can only decide the dispute referred to him unless parties again agree to refer additional disputes/counter claims and authorise the arbitrator to decide the same.

Topic(s)-

Important Decision(s)- Claim made beyond period of limitation prescribed by Limitation Act - Has to be rejected by Arbitral Tribunal as barred by limitation.