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Section 51 of the Arbitration and Conciliation Act, 1996 - Saving

Section 51 is the saving clause at the end of Part II, Chapter I of the Arbitration and Conciliation Act, 1996. Chapter I deals with enforcement of certain foreign awards governed by the New York Convention framework. Section 51 preserves rights that a person would otherwise have had in India in relation to an award if that Chapter had not been enacted.

Text of Section 51 - Saving

Section 51. Saving.

Nothing in this Chapter shall prejudice any rights which any person would have had of enforcing in India of any award or of availing himself in India of any award if this Chapter had not been enacted.

Meaning of Section 51

Section 51 is a protective or saving provision. Its purpose is to make clear that Part II, Chapter I does not destroy a right that a person would otherwise have possessed to enforce an award in India or to rely upon an award in India if Chapter I had not been enacted.

In other words, Chapter I provides a statutory mechanism for recognition and enforcement of foreign awards falling within its scope, but Section 51 prevents the Chapter from being read as prejudicing other rights concerning an award that independently existed and remained legally available.

Key point: Section 51 is a saving clause. It preserves otherwise existing rights; it does not itself create a new foreign award, a new ground of enforcement, or an independent appellate remedy.

What does "this Chapter" mean in Section 51?

The expression "this Chapter" refers to Part II, Chapter I of the Arbitration and Conciliation Act, 1996. That Chapter contains Sections 44 to 51 and concerns New York Convention awards.

  • Section 44 defines "foreign award" for Chapter I.
  • Section 45 deals with reference of parties to arbitration.
  • Section 46 states when a foreign award is binding.
  • Section 47 deals with evidence required for enforcement.
  • Section 48 sets out the conditions and limited grounds for refusing enforcement.
  • Section 49 provides that an enforceable foreign award is deemed to be a decree of the court.
  • Section 50 specifies appealable orders.
  • Section 51 preserves otherwise existing rights relating to enforcement or use of an award in India.

What is a "foreign award" under Section 44?

For Part II, Chapter I, Section 44 defines a "foreign award" by reference to an arbitral award on differences between persons arising out of legal relationships considered commercial under Indian law, made pursuant to a written arbitration agreement to which the New York Convention applies, and made in a territory notified by the Central Government on the basis of reciprocity.

Section 51 should therefore be read in its statutory setting: it appears after the provisions that define, regulate, enforce, and provide appeals concerning New York Convention foreign awards.

Practical effect of the saving clause

The wording of Section 51 prevents Chapter I from operating merely by implication to take away a right that a person would have had concerning enforcement or reliance upon an award in India had Chapter I not existed.

Whether a particular alternative right is actually available in a given case depends on the legal basis invoked, the nature of the award, the applicable statute, jurisdiction, limitation, and binding judicial decisions. Section 51 preserves qualifying rights; it does not dispense with the legal requirements governing the particular remedy relied upon.

Section 51 and Section 60 - different Chapters

Section 51 is the saving provision for Part II, Chapter I, which concerns New York Convention awards. Section 60 performs a corresponding saving function at the end of Part II, Chapter II, which deals with certain foreign awards under the Geneva Convention framework. The two provisions therefore operate in different statutory Chapters.

For a complete understanding of Section 51, it is useful to read the preceding provisions on foreign awards, particularly Section 44, Section 45, Section 46, Section 47, Section 48, Section 49, and Section 50.

Legal note: This article provides the statutory text and a general explanation for legal research and information. Before relying on Section 51 in proceedings, verify the current official Act, relevant notifications, procedural law, limitation provisions, and binding judicial decisions applicable to the facts.