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Did not receive summons by court for Arbitration, now award detained


03-Nov-2023 (In Arbitration Law)
I joined FIITJEE Ltd (a coaching institute) as a teacher for Biology in November 2009. At the time of joining, I was made to sign an agreement which prevented me from leaving the company before May 2013. It further stated that a notice period of 6 months needs to be served after resignation. I was also made to deposit 2 undated signed cheques as security in case I break the conditions. The agreement also had an arbitration clause. I resigned from the company in November 2013 and left the company on February 8, 2014. After I left the company I started receiving letters from the company asking me to pay penalty of about ₹4 lac. The letters were delivered at my permanent address and were received by neighbours or relatives. A few months back they had started Arbitration proceedings which I did not participate in. Now I have received a letter from the arbitrator that an award has been published and my copy of award has been detained as I did not pay the arbitration fee. Please suggest.
Answers (1)

Answer #1
952 votes
Respected Sir
Arbitrator cannot cease the copy of award as the full fee has to be paid by the claimant in general cases.
I would like to go through the arbitration clause before advising you ahead.
There are various grounds by which we can challenge the award.
Since you are not heard by arbitrator and your constitutional right is directly curtailed by the arbitrator.
And I guess arbitrator was in good terms with the claimants. So there are various points by which you can easily get rid of them. And alternately claim for mental agony that you are facing because of this and cost of the expenses that you are going to bear because of this.

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