Delhi High Court: Fourth Schedule Fee Cap Not Applicable to International Commercial Arbitration

Delhi High Court: Fourth Schedule Fee Cap Not Applicable to International Commercial Arbitration

  • Case Name: NHAI v. Ssyangyong Engineering Construction Co. Ltd.

The Delhi High Court ruled that the fee cap under the Fourth Schedule of the Arbitration and Conciliation Act, 1996, does not apply to international commercial arbitration.

NHAI had challenged a tribunal's fee of ₹3,00,000 per arbitrator per sitting, seeking a ₹30,00,000 cap. However, the Court noted that the fee structure was disclosed in advance, and NHAI did not object at the time.

Relying on the explanation to Section 11(14) of the Act, the Court held that the Fourth Schedule is not binding and dismissed the petition, upholding party autonomy in fee arrangements.

HC Judgement / 2 months ago

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