Public policy l is one issue which is a threat to the arbitral awards since courts can interfere into any award on the ground of public policy. In India Supreme Court of India has minimised the possibility of such unlimited interference by the courts, by its various judgements.
In a recent judgment dated04.09.2014 at three judge Bench of the Supreme Court of India in ONGC versus Western Geo International Ltd(2014) 9 SCC 263 further has expended the scope of”Public Policy” including reasonableness, fundamental principles providing a basis for administration of Justice and enforcement of law in addition to the principles laid down by the above said SAW by the judgement. Hence, the above judgment includes all the following aspects:
- Judicial Approach (judicial approach ensures the authority to act in a fair, reasonable and objective manner and not based on some extraneous considerations.
- Application of mind and recording reasons
- Decision should not fall out of reasonableness if tested on the touchstone of witness bury principle of reasonableness.
The above said ONGC 2014 judgment also states all such fundamental principles providing a basis for administration of Justice and enforcement of law
Now you can file objections under section 34 of the arbitration and conciliation act to challenge the award considering the above laid down on principles for challenging the impugned award passed by the arbitrator.