Question

Judicial intervention in arbitration proceedings is limited under Section 5 of the Arbitration and Conciliation Act, 1996. In which of the following situations may a court intervene?

• A. When both parties request supervision of proceedings.
• B. When the Act expressly permits such intervention.
• C. When procedural irregularity is alleged without specific provision under the Act.
• D. When the court considers the award unjust on facts.

Hint:

Section 5 is the "Non-Interference" rule. Unless you can point to a specific section in the Act that allows for judicial action, the Court has no jurisdiction to step into an arbitration proceeding!

Answer 1

The Correct Option is B

Step 1: Understanding the Concept:
Section 5 of the Arbitration and Conciliation Act, 1996, embodies the principle of "minimum judicial intervention." It mandates that no judicial authority shall intervene in arbitration matters except where so provided in Part I of the Act.

Step 2: Detailed Explanation:
- The arbitration process is designed to be autonomous. Therefore, court intervention is not a matter of party request (A) or the court's subjective view on justice (D).
- Intervention is strictly permissible only when specific sections of the Act (such as Section 9 for interim measures or Section 34 for challenging an award) expressly authorize it.

Step 3: Final Answer:
The court can intervene only when the Act expressly permits such intervention. Option (B) is correct.