Commercial arbitration jurisdiction extends to award execution where specified value is based on aggregate claim and counterclaim.

An arbitral award is enforceable under Section 36 of the Arbitration and Conciliation Act, 1996 in the same manner as a civil decree, so execution lies before the court competent to execute that decree under the CPC. In a commercial arbitration, the specified value is determined by the aggregate value of the claim and counterclaim under the Commercial Courts Act, 2015. Because the underlying dispute was of specified value and the setting-aside proceedings had already been entertained by the Commercial Court, that court remained competent to execute the award. The jurisdictional objection was therefore rejected.

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Issues: Whether the Commercial Court had jurisdiction to entertain and execute an arbitral award in a commercial dispute where the execution amount claimed was below the specified value, though the aggregate claim and counterclaim in the arbitration exceeded the specified value.

Analysis: An arbitral award becomes enforceable under Section 36 of the Arbitration and Conciliation Act, 1996 and is to be enforced in the same manner as a decree of the Court. For that purpose, the court competent to execute the decree is the court having jurisdiction over the subject matter, as recognized by Sections 37 and 38 of the Code of Civil Procedure, 1908. Under Section 12 of the Commercial Courts, Commercial Division and Commercial Appellate Division of High Courts Act, 2015, the specified value in an arbitration is determined on the basis of the aggregate value of the claim and counterclaim. Since the underlying arbitration concerned a commercial dispute of specified value and the setting-aside proceedings had already been entertained by the Commercial Court, the same court remained competent to enforce the award.

Conclusion: The Commercial Court had jurisdiction to execute the arbitral award, and the objection to its jurisdiction was rejected.

Ratio Decidendi: In a commercial arbitration of specified value, the award is enforceable by the Commercial Court having jurisdiction over the subject matter, and specified value is determined by the aggregate claim and counterclaim in the arbitration.

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