Supreme Court: Arbitral Tribunals Can Condone Delay in Filing Claims in Interest of Justice

The Supreme Court has affirmed that arbitral tribunals have the inherent authority to condone delays in filing claims, provided such discretion is exercised judiciously and in the interests of justice.

The Court dismissed a plea questioning whether arbitral tribunals seated in India can override institutional arbitration rules agreed between parties.

The ruling emphasises that tribunals are not bound by strict procedural timelines like civil courts and can consider genuine reasons for delays to ensure substantive fairness. 

The Supreme Court left intact the Delhi High Court’s finding that arbitral tribunals retain wide discretion to extend timelines in the interest of justice.

[Aneja Constructions v Doosan Power]