The Court set aside a single judge’s order that had annulled an arbitral award in favour of Unison Hotels Private Limited against IFFCO Tokio General Insurance Company Limited, citing a 2-year delay in pronouncing the award.
The dispute arose from a fire at Unison Hotels’ Grand Hotel in Vasant Kunj, New Delhi on January 26, 2008.
The hotel was insured under two policies issued by IFFCO Tokio.
Unison claimed ₹68.64 crore and ₹100 crore, while the insurer paid ₹20 crore and ₹30 crore, later contending that the claims had been fully settled.
The insurer challenged the award under Section 34, citing the delay and disputing arbitrability.
The Court set aside a single judge’s order that had annulled an arbitral award in favour of Unison Hotels Private Limited against IFFCO Tokio General Insurance Company Limited, citing a 2-year delay in pronouncing the award.
The dispute arose from a fire at Unison Hotels’ Grand Hotel in Vasant Kunj, New Delhi on January 26, 2008. The hotel was insured under two policies issued by IFFCO Tokio. Unison claimed ₹68.64 crore and ₹100 crore, while the insurer paid ₹20 crore and ₹30 crore, later contending that the claims had been fully settled.
Unison invoked arbitration over the shortfall. A 3-member tribunal reserved the award on March 6, 2021, but pronounced it on March 6, 2023, awarding ₹65.12 crore with 9% annual interest and ₹50 lakh in costs.
The insurer challenged the award under Section 34, citing the delay and disputing arbitrability. The single judge allowed the plea and annulled the award.
