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Case Analysis Ms Continental India Pvt Ltd vs General Manager, Northern Railways Administration & Ors 2026 DHC 3332

Synopsis

The decree holder filed an execution petition seeking enforcement of an arbitral award dated 1st May 2025. While the principal awarded amount had been paid, the costs awarded remained unpaid. The judgment debtors contended that the costs were not quantified in the award and that the decree holder could not, in execution proceedings, produce evidence to quantify costs (relying on H.P. Cotton Textile Mills Ltd. v. The Oriental Insurance Company Ltd.). The court distinguished the cited precedent, holding that in the present case, the tabulated statement of costs along with supporting invoices was placed on the arbitral record and formally taken on record by the tribunal. Therefore, the costs were deemed to have been awarded in the quantified amount. The court directed payment of ₹9,28,300/- (costs incurred in arbitral proceedings) within four weeks.


Court: High Court of Delhi

Coram: Honourable Mr. Justice Harish Vaidyanathan Shankar

Date of Judgment: 21st April 2026

Citation: OMP (ENF.) (COMM.) 285/2025 (unreported)

Core Law: Arbitration and Conciliation Act, 1996 – Section 36 (execution of award); Code of Civil Procedure, 1908 – Order XXI Rule 10 (execution petition), Section 151 (inherent powers); execution of costs awarded in arbitral award


2. Legal Framework

Major laws and provisions involved

  • Arbitration and Conciliation Act, 1996 – Section 36 (enforcement of arbitral award)

  • Code of Civil Procedure, 1908 – Order XXI Rule 10 (execution petition), Section 151 (inherent powers)

Key legal principles applied

Execution of costs awarded by arbitral tribunal: If the arbitral award grants costs but does not quantify them, the decree holder cannot, in execution proceedings, produce evidence to quantify the costs for the first time. The executing court cannot go behind the award or permit the decree holder to fill gaps by adducing fresh evidence.

Exception where costs were quantified in arbitral record: If the tabulated statement of costs and supporting invoices were placed before the arbitral tribunal and taken on record, and the tribunal subsequently aw


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