Foreign award
Also called: New York Convention award, Geneva Convention award
An award on commercial differences made on or after 11 October 1960 under a written New York Convention agreement, in a territory notified by the Central Government. Section 44, Arbitration Act, 1996.
Explained
Part II of the Arbitration and Conciliation Act, 1996 deals with enforcement of foreign awards. Section 44 defines a foreign award, for the New York Convention chapter, as an arbitral award on differences between persons arising out of legal relationships, whether contractual or not, considered as commercial under the law in force in India, made on or after 11 October 1960, in pursuance of an agreement in writing for arbitration to which the Convention in the First Schedule applies, and in a territory which the Central Government, being satisfied of reciprocity, has notified. Section 53 contains a parallel definition for Geneva Convention awards made after 28 July 1924.
The elements are therefore: an arbitral award; a commercial relationship as understood in Indian law; a written arbitration agreement governed by the Convention; and a reciprocating territory notified by the Central Government. An award made in a country that is not notified is not a foreign award under Section 44, even if made abroad.
Section 46 makes an enforceable foreign award binding for all purposes. The party seeking enforcement must produce the authenticated award, the arbitration agreement and evidence that the award is a foreign award (Section 47). Under Section 48(1), enforcement may be refused only if the resisting party proves incapacity or invalidity of the agreement, lack of proper notice or inability to present his case, excess of the submission, improper composition or procedure, or that the award is not yet binding or has been set aside or suspended in the country where it was made. Under Section 48(2), the Court may refuse if the subject is not arbitrable in India or enforcement would be contrary to the public policy of India, which Explanation 1 confines to fraud or corruption, contravention of the fundamental policy of Indian law, or conflict with the most basic notions of morality or justice. Once the Court is satisfied, the award is deemed a decree of that Court (Section 49).
An appeal lies under Section 50 from an order refusing enforcement, but not from an order allowing it. Examiners test the 1960 date, the reciprocity notification, the closed list in Section 48 and the narrow public policy ground.
What the law says
In this Chapter, unless the context otherwise requires, “foreign award” means an arbitral award on differences between persons arising out of legal relationships, whether contractual or not, considered as commercial under the law in force in India, made on or after the 11th day of October, 1960—
(a) in pursuance of an agreement in writing for arbitration to which the Convention set forth in the First Schedule applies, and
(b) in one of such territories as the Central Government, being satisfied that reciprocal provisions have been made may, by notification in the Official Gazette, declare to be territories to which the said Convention applies.
Defines foreign award under the New York Convention
(1) Enforcement of a foreign award may be refused, at the request of the party against whom it is invoked, only if that party furnishes to the court proof that—
(a) the parties to the agreement referred to in section 44 were, under the law applicable to them, under some incapacity, or the said agreement is not valid under the law to which the parties have subjected it or, failing any indication thereon, under the law of the country where the award was made; or
(b) the party against whom the award is invoked was not given proper notice of the appointment of the arbitrator or of the arbitral proceedings or was otherwise unable to present his case; or
Conditions and grounds for refusing enforcement
(1) The party applying for the enforcement of a foreign award shall, at the time of the application, produce before the court—
(a) the original award or a copy thereof, duly authenticated in the manner required by the law of the country in which it was made;
(b) the original agreement for arbitration or a duly certified copy thereof; and
Evidence to be produced for enforcement
Where the Court is satisfied that the foreign award is enforceable under this Chapter, the award shall be deemed to be a decree of that Court.
Enforceable foreign award deemed a decree
(b) enforce a foreign award under section 48,
to the court authorised by law to hear appeals from such order.
(2) No second appeal shall lie from an order passed in appeal under this section, but nothing in this section shall affect or take away any right to appeal to the Supreme Court.
Appealable orders
In this Chapter “foreign award” means an arbitral award on differences relating to matters considered as commercial under the law in force in India made after the 28th day of July, 1924,—
(a) in pursuance of an agreement for arbitration to which the Protocol set forth in the Second Schedule applies, and
(b) between persons of whom one is subject to the jurisdiction of some one of such Powers as the Central Government, being satisfied that reciprocal provisions have been made, may, by notification in the Official Gazette, declare to be parties to the Convention set forth in the Third Schedule, and of whom the other is subject to the jurisdiction of some other of the Powers aforesaid, and
(c) in one of such territories as the Central Government, being satisfied that reciprocal provisions have been made, may, by like notification, declare to be territories to which the said Convention applies,
Defines foreign award under the Geneva Convention
For the exam
- New York Convention award: made on or after 11 October 1960 in a notified territory (Section 44).
- Geneva Convention award: made after 28 July 1924 (Section 53).
- Grounds for refusal in Section 48 are exhaustive; public policy is narrowly defined in Explanation 1.
- Enforceable foreign award is deemed a decree of the Court (Section 49).
- Appeal lies only against an order refusing enforcement (Section 50).
10 questions in the Law Maker question bank use this term. Practise Arbitration and Conciliation Act, 1996 questions
Related terms
- Arbitral awardThe decision of an arbitral tribunal on the dispute referred to it, including an interim award (Section 2(1)(c) of the Arbitration and Conciliation Act, 1996).
- International commercial arbitrationAn arbitration of a dispute arising from a legal relationship considered commercial under Indian law, where at least one party is foreign in nationality, residence, incorporation or control. Section 2(1)(f) of the Arbitration Act.
- Arbitration agreementAn agreement by the parties to submit to arbitration all or certain disputes, present or future, arising out of a defined legal relationship (Section 7 of the Arbitration and Conciliation Act, 1996).
- Foreign judgmentThe judgment of a foreign Court, meaning a Court outside India not established or continued by Central Government authority. It is conclusive in India unless one of the six exceptions in Section 13 of the CPC applies.
- DecreeThe formal expression of an adjudication that conclusively determines the rights of the parties on all or any matter in controversy in a suit, as defined in Section 2(2) of the CPC.
Further reading
Checked 6 November 2026. Statutory text is quoted from the Bare Acts library, taken from India Code. See the full glossary.