Supreme Court: Arbitration mandate extendable even after award passed

The case concerns a dispute between South Bihar Power Distribution Company Ltd. and India Power Corporation Ltd. regarding the validity of a sole arbitrator's appointment and the jurisdiction to extend the arbitration timeline under Section 29A of the Arbitration and Conciliation Act, 1996.

Who it concerns: Petitioner/Appellant: South Bihar Power Distribution Company Ltd.; Respondents: India Power Corporation Ltd. & Anr. (including Vikriti Power Limited, formerly India Power Corporation (Bodhgaya) Ltd.); Bench: Justice Ujjal Bhuyan.

What the court decided

• The Court noted that the High Court of Patna had previously extended the mandate of the sole arbitrator by four months under Section 29A of the 1996 Act.
• The Supreme Court previously directed the District Court to consider an application for a further six-month extension on its merits, irrespective of the pending Special Leave Petition.
• The Principal District Judge-cum-Commercial Court, Patna, allowed the application and extended the sole arbitrator's mandate for a further six months.
• The Court is currently considering submissions regarding whether the High Court erred in rejecting the appellant's request for a three-member arbitral tribunal as per the distribution franchisee agreement.

Also in the document

• The judgment is marked as 'REPORTABLE' and is designated as 2026 INSC 1165.
• The two civil appeals (Nos. 9313 and 9325 of 2026) were heard together and disposed of by a common judgment and order.
• The Court noted that the second respondent underwent a corporate insolvency resolution process and its name was changed to Vikriti Power Limited on 28.08.2023.