SHANGHAI MARINE DIESEL ENGINE RESEARCH INSTITUTE vs HUANENG FUYUN PORT AND SHIPPING (PVT

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SHANGHAI MARINE DIESEL ENGINE RESEARCH INSTITUTE VS HUANENG FUYUN PORT AND SHIPPING (PVT.) LIMITED Ss.1, 6 & 7---Limitation Act (IX of 1908), First Sched., Art.178 ---Foreign arbitral award---Recognition and enforcement---Objection viz. limitation---Relevance---Arbitration Act, 1940, applicability of---Import into foreign award enforcement---Bar---Facts: Applicant company filed application under S. 6 of the Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act, 2011 for recognition and enforcement of a foreign arbitral award made by China International Economic and Trade Administration Commission (CIETAC), arising from agreements between the parties containing an arbitration clause---Respondent resisted enforcement on objections including limitation, alleged procedural impropriety under CIETAC rules, and competency/authority of the person instituting proceedings---Issue: "Whether the CIETAC award was liable to be recognized, made rule of Court, and executed as a decree under the 2011 Act, despite the above-mentioned respondent's objections?"---Held: There was no cavil articulated to the arbitration agreement and / or award qualifying within the parameters of section 1 of the Act, 2011---It was also undenied that the respondent had failed in its challenge to the award before the Beijing Fourth Intermediate Peoples Court---The crux of the respondent's defense was that the present proceedings were barred by limitation; per Art. 178 of the First Schedule to the Limitation Act, 1908---The Act, 2011 came into force on 19.07.2011---Section 1 thereof demonstrates that it is to encompass arbitration agreements made before, on or after the said date and covered foreign arbitral awards made post 14.07.2005---Therefore, any qualifying arbitration agreement, irrespective of date of execution thereof, culminating in an award made after 14.07.2005 could be recognized and enforced---Retrospective nature of the Act, 2011 had been recognized and given effect to---Even otherwise, the provision under reference prescribed a period of limitation for filing of an award per the Arbitration Act, 1940 and had no discernible nexus with enforcement under the Recognition and Enforcement (Arbitration Agreements and Foreign Arbitral Awards) Act, 2011---The validity of the proceedings had been adequately addressed and since no reference was made to the relevant record, therefore, no occasion arose to displace and / or distinguish the pertinent deliberations and the findings---The documentation demonstrating the power and authority of the person filing the present proceedings, power of attorney etc., could not be impeached before the High Court---Irrespective of the internal management rule, maintained by the Supreme Court time and time again, the documentation annexed was found to be adequate for its intended purpose---No infirmity with the arbitration agreement and / or the award could be identified, within the mandate of Art. V of the New York Convention---The foreign arbitral award was recognized as binding and enforceable against the respondent company, hence made rule of Court---The applicant was granted judgment in the amount mentioned in the award, which was to be executed as a decree of the High Court---Application filed per S. 6 of the Act, 2011 was allowed, in circumstances.

SHANGHAI MARINE DIESEL ENGINE RESEARCH INSTITUTE vs HUANENG FUYUN PORT AND SHIPPING (PVT — 2026 CLD 277 KARACHI-HIGH-COURT-SINDH

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