Arbitrator Directed to Conclude Proceedings by December 2026 Following Statutory Delays
In a significant directive, the Himachal Pradesh High Court has emphasized the necessity for adherence to statutory timelines in arbitral proceedings related to land acquisition, specifically under the National Highways Act, 1956. This judgment was delivered by Justice Romesh Verma in the case concerning Mohan Singh (deceased) represented through his legal representatives, against the National Highways Authority of India (NHAI) and others.
The case involved the acquisition of land in District Shimla, Himachal Pradesh, for the construction of a national highway, a process initiated under the National Highways Act, 1956. The landowners, aggrieved by the initial award, sought arbitration through a petition filed in 2017, which was pending adjudication due to delays attributed to unforeseen circumstances.
The petitioners approached the High Court under Article 227 of the Constitution of India, seeking an extension for the completion of the arbitration proceedings. The court recognized that the delay in passing the arbitral award was in violation of the statutory provisions outlined in the Arbitration and Conciliation Act, 1996. The court underscored the importance of adhering to prescribed schedules, stating that delays must be justified and bona fide.
Justice Romesh Verma highlighted the responsibility of the arbitrator, in this case, the Divisional Commissioner-cum-Arbitrator for NHAI, to conduct proceedings within the statutory timeframe. The judgment mandates the arbitrator to conclude the proceedings and issue an award by December 4, 2026. This directive aims to ensure that land acquisition disputes, particularly those involving public infrastructure projects, are resolved efficiently and within the legal framework.
The court's decision reinforces the legal obligation of arbitrators to comply with statutory deadlines, thereby upholding the rights of landowners and maintaining the integrity of the arbitration process. The petition was disposed of with the said directions, emphasizing the need for timely justice in land acquisition disputes.
Bottom line:-
Arbitrator must comply with statutory provisions and prescribed time schedules for passing an award under the Arbitration and Conciliation Act, 1996, particularly in cases involving land acquisition disputes under the National Highways Act, 1956.
Statutory provision(s): Arbitration and Conciliation Act, 1996, National Highways Act, 1956, Article 227 of the Constitution of India
Mohan Singh (deceased) v. NHAI, (Himachal Pradesh) : Law Finder Doc id # 2918750
