Advocate, Supreme Court of India · IP Extension, Delhi & Vaishali, Ghaziabad 📞 +91 88518 40550  ·  ✉ advocateajaymishra8@gmail.com

Arbitration in India: How the Process Works

Arbitration is a private, usually faster way to resolve contract disputes. If your agreement has an arbitration clause, this is how the process works.

Last reviewed: October 2026 · General information only, not legal advice.

Step by Step

  1. Invoke arbitration: Send a notice under the arbitration clause, stating the dispute and proposing an arbitrator Arbitration Act 21.
  2. Interim relief: Before or during arbitration, the court can grant urgent protection — such as an injunction, deposit or preservation of assets 9. The tribunal has similar powers once constituted 17.
  3. Appointment: If the parties cannot agree on an arbitrator, the High Court (or Supreme Court in international cases) appoints one 11.
  4. Pleadings and hearings: Statement of claim, defence and any counter-claim, followed by evidence and arguments.
  5. Award: To be made within 12 months of completion of pleadings, extendable by 6 months by consent, and further only by the court 29A.

Independent Arbitrators

An arbitrator must be independent and impartial. The Supreme Court has held that one party cannot unilaterally appoint the sole arbitrator (Perkins Eastman, 2019), and a Constitution Bench in 2024 held that clauses allowing one party to unilaterally appoint arbitrators violate the principle of equal treatment.

Challenging or Enforcing the Award

  • Challenge: An application to set aside the award must be filed within 3 months of receiving it, extendable by 30 days 34. Grounds are limited — courts do not re-examine the merits.
  • Enforcement: Once the time to challenge expires, or the challenge fails, the award is enforced like a court decree 36. Filing a challenge does not automatically stay enforcement.
  • Appeal: Orders under Section 34 can be appealed 37.

Frequently Asked Questions

Can I go to court if my contract has an arbitration clause?

For the main dispute, the court will usually refer the parties to arbitration under Section 8 of the Arbitration Act. However, you can approach the court for urgent interim relief under Section 9 before or during the arbitration.

What is the time limit to challenge an arbitral award?

An application under Section 34 must be filed within 3 months of receiving the award. The court can extend this by a further 30 days for sufficient cause, but not beyond that.

How long does arbitration take in India?

Under Section 29A, a domestic award should be made within 12 months of completion of pleadings, extendable by 6 months with the parties' consent, and beyond that only by the court.

Need advice on your matter?

Every case turns on its own facts. Speak to Advocate Ajay Mishra for advice specific to your situation — in person at IP Extension (Delhi) or Vaishali (Ghaziabad), by phone, or by video call.