CHINA WATER AND ELECTRIC CORPORATION (CWE) P.R. CHINA vs NATIONAL HIGHWAY AUTHORITY, ISLAMABAD S

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CHINA WATER AND ELECTRIC CORPORATION (CWE) P.R. CHINA VS NATIONAL HIGHWAY AUTHORITY, ISLAMABAD S. 6(1)---United Nations Convention on the Recognition and Enforcement of Foreign Arbitral Awards, 1958 (New York Convention), Art. V(1)(e)--- International Chamber of Commerce Rules of Arbitration, Art. 35(6)---Qanun-e-Shahadat (10 of 1984), Arts. 117 & 120---Interim arbitration award---Scope---Enforcement of award---Proof---Onus to prove---Applicant company sought recovery of interim arbitration award passed in its favour and against respondent/National Highway Authority---Contention of respondent/Authority was that interim award was not enforceable---Validity---In order to be recognized and enforced under Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act, 2011, an award must be (i) an arbitral award for the purposes of New York Convention; and (ii) a foreign arbitral award within the meaning of Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act, 2011---Interim Award satisfied both the requirements---No distinction between interim awards and final awards was made under the provisions of Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act, 2011 and New York Convention---High Court could refuse recognition and enforcement under Art. V(1)(e) of New York Convention of such foreign arbitral award that had not yet become binding on the parties---Interim Award in question was not conditional or contingent on materialization of an eventuality in order for it to become binding---Until Interim Award was set aside or suspended by a competent authority of the country in which, or under the law of which it was made, such interim award remained binding on the parties---By agreeing for arbitration to be conducted in accordance with Rules of Arbitration of International Chamber of Commerce, parties had in effect agreed that Interim Award was binding on them---Every award was binding on parties under Art. 35(6) of International Chamber of Commerce Rules of Arbitration---By submitting dispute to arbitration under Rules of Arbitration of International Chamber of Commerce, parties had undertaken to carry out any award without delay---Burden was on respondent/National Highways Authority to furnish proof on the grounds listed in Art. V(1) of New York Convention of having been satisfied in order for recognition and enforcement of Interim Award to be refused---High Court recognized interim award as respondent/ Authority was not able to discharge the burden---High Court directed to execute interim award along with interest at the rate of 6% per annum from the date of award till the date of payment---Application was allowed, in circumstances.

CHINA WATER AND ELECTRIC CORPORATION (CWE) P.R. CHINA vs NATIONAL HIGHWAY AUTHORITY, ISLAMABAD S — 2023 CLD 1365 ISLAMABAD

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