ISSUE:
Whether an arbitral award lacking reasons can be set aside by a court on the ground of it falling under public policy of India and thus a ground under Section 31(3) of the Arbitration and Conciliation Act, 1996?
RULE:
An arbitral award should be backed by reasons as per Section 31(3) of the Arbitration and Conciliation Act, 1996, unless and until the parties to the dispute themselves agree and sign a waiver with respect to the same.
The courts are duty bound to assess if the arbitral tribunal has exercised powers inside the boundaries of the jurisdiction or not.