In Brief
P.E.C. Limited challenged a High Court judgment enforcing a foreign arbitral award of US$ 150,362.18 for demurrage charges in a shipping dispute. The Supreme Court held that the word "shall" in Section 47 of the Arbitration and Conciliation Act, 1996 (requiring production of arbitration agreement and award documents) should be read as "may," adopting a pro-enforcement approach consistent with the New York Convention's objectives. The Court affirmed that a valid arbitration agreement existed in the Charter Party through the parties' correspondence and conduct, even without the appellant's signature. The appeal was dismissed and the deposited amount ordered to be paid to the respondent."
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