Question

The language which is to be used in the arbitral proceedings is decided by:

• A. The Tribunal
• B. Parties to decide by mutual understanding
• C. The Petitioner
• D. The Defendant

Hint:

The Arbitration and Conciliation Act, 1996 is based on the principle of "party autonomy" — giving parties the freedom to decide procedural aspects like the language, place, and governing law of arbitration.

Answer 1

The Correct Option is B

Step 1: Understanding the Concept.
The Arbitration and Conciliation Act, 1996 upholds the principle of party autonomy, which means that the parties to an arbitration agreement have the freedom to decide on most procedural aspects, including the language, venue, and manner of proceedings.

Step 2: Detailed Explanation.
As per Section 22 of the Arbitration and Conciliation Act, 1996: - Sub-section (1) states that the parties are free to agree upon the language or languages to be used in the arbitral proceedings.
- Sub-section (2) provides that if the parties fail to agree, the arbitral tribunal shall determine the language or languages to be used.
Thus, the primary authority lies with the parties to mutually decide the language. The tribunal's power arises only when there is no agreement between them.
Step 3: Final Answer.
Hence, the language of the arbitral proceedings is decided by the parties through mutual understanding.