Section 34(3) of The Arbitration Act III

Arbitral Award made by Arbitral Tribunal on 30th June, 2022 was served on same day. In view of Section 12(1) of The Limitation Act, 1963, 30th June, 2022 will have to be excluded while computing limitation period. Thus, in effect, period of limitation started running on 1st July, 2022, period of limitation being of 3 months, not 90 days, ending on 30th September, 2022.

“Where ‘prescribed period’ for any appeal expires on a day when Court is closed, appeal may be instituted, preferred or made on day when Court re­opens.”

Between 1st October, 2022 and 30th October, 2022 (both days inclusive), High Court, indeed, was closed. But, ‘prescribed  period’ within meaning of Section 4 of The Limitation Act, 1963 expired on 30th September, 2022 when Court was open. Appellants, thus, were not entitled to take benefit of Section 4 of The Limitation Act, 1963.

As per proviso to Section 34(3), period of limitation could have been extended by a maximum period of 30 days which expired on 30th October, 2022. As noted, petition was filed on 31st October, 2022. High Court was right in holding, petition filed was not within period specified under Section 34(3).

Hon’ble Justice Abhay S. Oka, State of West Bengal v. Rajpath Contractors and Engineers Ltd., [Civil Appeal No. 7426 of 2023]. 

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[Bhimashankar Sahakari Sakkare Karkhane Niyamita v. Walchandnagar Industries Limited, (2023) 8 SCC 453]

Section 4 of The Limitation Act, 1963 benefits a party only when the 3-month limitation period under Section 34(3) expires on a Court holiday. In such a situation, a Section 34 application will be considered as having been filed within limitation period if it is filed on next working day of Court.

Section 4 of The Limitation Act, 1963 does not come to aid when the 3-month limitation period expires on a day when Court was working. The 30-day condonable period expiring during Court holidays will not survive and neither Section 4 nor any other provision of The Limitation Act, 1963 will benefit a party to enable filing a Section 34 application immediately after reopening.

– Hon’ble Justice Pamidighantam Sri NarasimhaMy Preferred Transformation & Hosptality Pvt. Ltd. v. M/s. Faridabad Implements Pvt. Ltd., [Civil Appeal No. 336 of 2025].

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It is necessary to reiterate, statutory language of Section 34(3) clearly stipulates limitation period as ‘three months’, as opposed to condonable period as ‘thirty days’. This difference in language unambiguously demonstrates legislative intent that, limitation period is 3 calendar months as opposed to 90 days [State of Himachal Pradesh v. Himachal Techno Engineers (2010) 12 SCC 210]. Court in Himachal Techno Engineers held, Section 12(1) of The Limitation Act, 1963 applies while calculating limitation period under Section 34(3). State of West Bengal v. Rajpath Contractors and Engineers Ltd., (2024) 7 SCC 257 applied Section 12(1) while calculating limitation period of 3 months under Section 34(3).

Hon’ble Justice Pamidighantam Sri Narasimha, M/s. R.K. Transport Company v. M/s. Bharat Aluminimum Company Ltd., [Civil Appeal No. 4763 of 2025].