Termination for Non-Filing Not an Arbitral Award, Rules Delhi High Court under Section 34

The Delhi High Court held that an order terminating arbitral proceedings under Section 25(a) of the Arbitration and Conciliation Act, 1996, for failure to file a statement of claim, does not constitute an arbitral award and hence cannot be challenged under Section 34.

Justice Jasmeet Singh observed that an award must adjudicate the parties’ rights, whereas termination for default is merely procedural and falls under Section 32(2). 

The Court allowed Mecwel Constructions Pvt. Ltd.’s petitions, restored arbitration before the same arbitrator, and clarified that termination orders can be challenged only under Section 14(2), not Section 34.

[Mecwel Constructions Pvt. Ltd. v GE Power Systems India Pvt. Ltd.]