India—Supreme Court clarifies jurisdictional rules for Arbitral mandate extensions (JC V SC)
Arbitration analys: In Jagdeep Chowgule v Sheela Chowgule and others (Chowgule), the Supreme Court of India has put to rest a jurisdictional dichotomy that had produced divergent judgements from various High Courts in India. Under section 29A of the Arbitration and Conciliation Act, 1996 (the ‘Act’), a domestic arbitral tribunal has a strict mandate of twelve months (after the filing of the Statement of Defence) to render an arbitral award. After the expiry of such time, the parties may, by consent, extend the mandate for further six months. When this extended time is also lapsed, the parties are required to file an application under section 29 A(4) of the Act to extend the mandate. The dichotomy arose with regard to which court had the power to grant this extension since some High Courts held that the applicants seeking to extend mandate of an arbitral tribunal, had to approach the court which appointed the arbitrator, while others held that it would be the Principal Civil Court which had jurisdiction over the arbitration, as per the statutory provisions. In Chowugle, the Supreme Court clarified that applications for extension of an arbitral tribunal's mandate must be filed before the Principal Civil Court of a specific district, regardless of whether the arbitrator was initially appointed by the High Court under section 11(6) of the Act or by consent of the parties under section 11(2) of the Act. This decision provides clarity to practitioners navigating extension applications and displays the Supreme Court's commitment to textual fidelity in statutory interpretation. The Supreme Court reaffirmed that the appointing Court under section 11 becomes functus officio upon constituting an arbitral tribunal and retains no residual supervisory role. Written by: Ms. Ila Kapoor, partner, Shardul Amarchand Mangaldas & Co & Mr Rachit Bansal, associate, Shardul Amarchand Mangaldas & Co.