With The Supreme Court’s Ruling, Is The 30-Day Extension Under Section 34(3) Now An Absolute Deadline With No Exceptions? - An Analysis Of The Supreme Court’s Ruling In ‘My Preferred Transformation &

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Shreya Srivastava, Dr. Ram Manohar Lohiya National Law University

Case Background

The appellants (My Preferred Transformation Hospitality) had entered into lease agreements with the respondent (Faridabad Implements), who owned the property. When disputes arose, the respondent initiated arbitration proceedings, which resulted in an arbitral award in their favor on February 4, 2022. The appellants received a digital copy of the award that day and a signed hard copy on February 14, 2022, which started the limitation period.

As per Section 34(3) of the Arbitration and Conciliation Act (ACA), the three-month period to challenge the award expired on May 29, 2022. Additionally, the 30-day condonable period ended on June 28, 2022, coinciding with the High Court’s summer vacation (June 4 to July 3, 2022). Relying on a Delhi High Court notification from May 20, 2022, the appellants submitted their Section 34 petition along with a delay condonation application on July 4, 2022, the first working day after the vacation. Meanwhile, the respondent proceeded with the execution of the arbitral award.

High Court’s Decision Under Sections 34 and 37 of the ACA

On February 7, 2023, the Single Judge dismissed the Section 34 application, stating that it was time-barred. The appellants then appealed under Section 37, but the Division Bench also dismissed it on April 3, 2024.

WITH THE SUPREME COURT’S RULING, IS THE 30-DAY EXTENSION UNDER SECTION 34(3) NOW AN ABSOLU.

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