(Delivered by the Hon’ble, the Chief Justice)
A point of some impotance is involved in this appeal.
There were arbitral proceedings between the parties resulting in an
arbitral award in favour of the appellant. In the award the Arbitral Tribunal
granted pre-reference and pendente lite interest on awarded claims.
This award was challenged by the respondent in an application
under Section 34 of the Arbitration and Conciliation Act, 1996 (in short the
“Act of 1996”) before the learned Commercial Court, East Khasi Hills,
Shillong. The learned judge by a judgment and order dated 15 th February,
2024 upheld the substantive part of the award but set aside the grant of pre-
reference and pendente lite interest, the ground being that clause 54 of the
terms and conditions of the contract between the parties read with Section
31(7) of the Act of 1996 prohibited grant of such interest.