1. The main law governing arbitration in India is:
A. Arbitration Act, 1950
B. Arbitration and Conciliation Act, 1996
C. Alternate Dispute Resolution Act, 2000
D. Arbitration Act, 1940
Answer: B
Explanation: The Arbitration and Conciliation Act, 1996 replaced the 1940 Act and is based on UNCITRAL Model Law.
2. The Arbitration and Conciliation Act, 1996 is based on which international model?
A. Doha Declaration
B. UNCITRAL Model Law
C. Hague Convention
D. WTO Guidelines
Answer: B
Explanation: The Act adopts the UNCITRAL Model Law on International Commercial Arbitration.
3. Part I of the Arbitration Act deals with:
A. Enforcement of foreign awards
B. Domestic arbitration
C. Mediation
D. Court litigation
Answer: B
Explanation: Part I governs domestic arbitrations seated in India.
4. Part II of the Act deals with:
A. Conciliation
B. Domestic arbitration
C. Foreign awards (New York & Geneva Convention)
D. Lok Adalats
Answer: C
Explanation: Part II provides enforcement mechanisms for foreign awards.
5. Section 7 of the Act deals with:
A. Composition of arbitral tribunal
B. Arbitration agreement
C. Appointment of arbitrators
D. Challenge to award
Answer: B
Explanation: It defines the essentials of a valid arbitration agreement.
6. Arbitration agreement must be:
A. Oral
B. Written
C. Verbal with a witness
D. Registered
Answer: B
Explanation: It must be in writing under Section 7.
7. Section 8 empowers the court to:
A. Enforce foreign awards
B. Refer parties to arbitration
C. Appoint arbitrators
D. Terminate proceedings
Answer: B
Explanation: Section 8 mandates reference to arbitration if a valid agreement exists.
8. Landmark case establishing minimal judicial interference in arbitration is:
A. Vodafone v Union of India
B. BALCO v Kaiser Aluminium
C. Shreya Singhal v Union of India
D. Maneka Gandhi v UOI
Answer: B
Explanation: BALCO (2012) upheld party autonomy and limited court intervention.
9. Arbitral tribunal is defined in which section?
A. Section 2(1)(d)
B. Section 2(1)(a)
C. Section 2(1)(f)
D. Section 2(1)(j)
Answer: A
Explanation: Section 2(1)(d) defines “arbitral tribunal”.
10. Who can be an arbitrator?
A. Only lawyers
B. Only judges
C. Any person
D. Only Chartered Accountants
Answer: C
Explanation: There are no qualifications unless parties agree otherwise.
11. Number of arbitrators must be:
A. Odd
B. Even
C. Exactly one
D. Minimum three
Answer: A
Explanation: Section 10 mandates an odd number to avoid deadlocks.
12. If parties fail to appoint arbitrator, who may appoint?
A. Bar Council of India
B. Supreme Court / High Court
C. State Government
D. District Magistrate
Answer: B
Explanation: Section 11 empowers courts to appoint arbitrators.
13. Under 2015 Amendment, appointment of arbitrators is now a:
A. Judicial function
B. Administrative function
C. Executive function
D. Legislative function
Answer: B
Explanation: Courts perform administrative scrutiny while appointing arbitrators.
14. Challenge to arbitrator is governed under:
A. Section 9
B. Section 12–13
C. Section 34
D. Section 36
Answer: B
Explanation: It deals with independence, impartiality, and challenge mechanisms.
15. Section 16 deals with:
A. Interim measures
B. Kompetenz-kompetenz
C. Award enforcement
D. Settlement
Answer: B
Explanation: Tribunal has jurisdiction to rule on its own jurisdiction.
16. Interim measures by courts are under:
A. Section 28
B. Section 9
C. Section 17
D. Section 24
Answer: B
Explanation: Courts grant interim protection under Section 9.
17. Interim measures by tribunal are under:
A. Section 17
B. Section 9
C. Section 18
D. Section 7
Answer: A
Explanation: Tribunal has similar powers as court post-2015 amendments.
18. Section 19 states arbitration is not bound by:
A. CPC and Evidence Act
B. Constitution
C. Natural justice
D. Contract Act
Answer: A
Explanation: It ensures flexible procedure.
19. Seat of arbitration determines:
A. Price of arbitration
B. Jurisdiction
C. Number of arbitrators
D. Language
Answer: B
Explanation: “Seat” defines supervisory court jurisdiction.
20. Landmark case explaining “seat vs venue”:
A. K.S. Puttaswamy v UOI
B. BGS SGS Soma v NHPC
C. Maneka Gandhi
D. Vishaka v State of Rajasthan
Answer: B
Explanation: It clarified that seat determines curial law.
21. Section 24 deals with:
A. Hearings
B. Awards
C. Evidence
D. Mediation
Answer: A – Conduct of hearings.
22. Section 25 covers:
A. Default of parties
B. Mediation
C. Foreign awards
D. Conciliation
Answer: A – Consequences of non-appearance.
23. Arbitral award must be:
A. Verbal
B. Written
C. Recorded by court
D. Signed by two judges
Answer: B – Section 31.
24. Section 34 provides for:
A. Appeal
B. Set aside award
C. Execution
D. Negotiation
Answer: B – Limited grounds to set aside award.
25. Time limit to challenge award under Section 34:
A. 30 days
B. 90 days + 30 days grace
C. 6 months
D. 1 year
Answer: B – 3 months + 30 days maximum.
26. Public policy ground is included in:
A. Section 34(2)(b)
B. Section 17
C. Section 12
D. Section 9
Answer: A.
27. “Patent illegality” applies to:
A. Domestic awards
B. Foreign awards
C. All awards
D. Criminal cases
Answer: A – Section 34(2A).
28. Foreign awards cannot be set aside in India.
A. True
B. False
Answer: A – Only enforceability can be refused (Part II).
29. Enforcement of award is under:
A. Section 36
B. Section 17
C. Section 34
D. Section 10
Answer: A.
30. 2015 Amendment removed:
A. Automatic stay on awards
B. Judicial review
C. Arbitration tribunals
D. Conciliation
Answer: A – No automatic stay upon filing Section 34.
31. The Supreme Court held that arbitration clauses exist independently of the contract in:
A. Vishaka v State of Rajasthan
B. Everest Holding v Shyam Kumar Shrivastava
C. Enercon (India) Ltd. v Enercon GmbH
D. Vodafone Case
Answer: C
Explanation: The doctrine of separability was strongly upheld in this case.
32. Arbitration clause survives even if the contract is terminated.
A. True
B. False
Answer: A
Explanation: As per the principle of separability.
33. Fast-track arbitration is provided under:
A. Section 29A
B. Section 29B
C. Section 10
D. Section 2
Answer: B
Explanation: Section 29B allows award within 6 months without oral hearings unless necessary.
34. Time limit for arbitral award under Section 29A (post-2019 Amendment) is:
A. 6 months
B. 12 months from completion of pleadings
C. 24 months
D. No limit
Answer: B
Explanation: 12 months after completion of pleadings (6 months for fast-track).
35. Pleadings must be completed within:
A. 30 days
B. 6 months from appointment of arbitrator
C. 90 days
D. 1 year
Answer: B
Explanation: As per 2019 amendment.
36. Arbitration Council of India (ACI) was introduced by:
A. 2015 Amendment
B. 2019 Amendment
C. 2021 Amendment
D. 1996 Act itself
Answer: B
Explanation: ACI regulates arbitral institutions and accreditation.
37. ACI has been notified and made functional.
A. True
B. False
Answer: B
Explanation: It exists in law but is not yet operational as of latest updates.
38. Mediation Bill became the Mediation Act in:
A. 2021
B. 2022
C. 2023
D. 2024
Answer: C
Explanation: The Mediation Act, 2023 codifies voluntary and institutional mediation.
39. Mediation Act makes which type of mediation mandatory?
A. Commercial mediation
B. Online mediation
C. Pre-litigation mediation
D. Cross-border mediation
Answer: C
Explanation: Pre-litigation mediation is mandatory for most civil and commercial disputes.
40. Mediated settlement agreements under the Mediation Act are:
A. Non-binding
B. Binding and enforceable like court decrees
C. Only persuasive
D. Applicable only for family matters
Answer: B
Explanation: They are enforceable as per Section 27 of the Mediation Act, 2023.
41. Arbitration is based on:
A. Adjudication
B. Conciliation
C. Negotiation
D. Mediation principles
Answer: A – An arbitral award is binding like a court judgment.
42. Mediation is based on:
A. Adjudication
B. Compromise & negotiation
C. Judicial review
D. Evidence Act
Answer: B – Mediator facilitates settlement.
43. Conciliation under 1996 Act is in:
A. Part I
B. Part II
C. Part III
D. Schedule III
Answer: C – Part III (Sections 61–81).
44. Conciliation is based on which model law?
A. UNCITRAL Conciliation Rules
B. ICSID Rules
C. WTO Guidelines
D. New York Convention
Answer: A.
45. Conciliator’s settlement agreement is enforceable as:
A. Contract
B. Decree of court
C. Executive order
D. Non-binding note
Answer: A – It is like a contract unless made into an arbitral award under Section 30.
46. Arbitration clause in an unstamped contract (as per recent Supreme Court ruling) is:
A. Valid
B. Invalid
C. Valid but enforceable after stamping
D. Unconstitutional
Answer: C
Explanation: NN Global Mercantile v Indo Unique Flame (2023) held stamping affects enforceability, not validity.
47. Court can refuse reference to arbitration under Section 8 if:
A. Arbitration clause is missing
B. Subject matter is non-arbitrable
C. Contract is void ab initio
D. All of the above
Answer: D.
48. The doctrine of kompetenz-kompetenz means:
A. Court decides arbitrator’s fee
B. Arbitrator decides own jurisdiction
C. Tribunal decides judge’s powers
D. None
Answer: B.
49. Arbitration can be invoked only when:
A. Dispute has arisen
B. Contract is signed
C. Court approves
D. Mediator recommends
Answer: A.
50. The place where arbitration is legally anchored is:
A. Venue
B. Seat
C. Meeting place
D. Courtroom
Answer: B – Seat determines jurisdiction.
51. A foreign award under New York Convention must be:
A. From notified territory
B. From any country
C. From any court
D. Only from EU
Answer: A.
52. Enforcement of foreign award can be refused if:
A. Against public policy
B. No arbitration agreement
C. Party was not properly notified
D. All of the above
Answer: D.
53. Arbitration can be ad hoc or institutional.
A. True
B. False
Answer: A.
54. The 1996 Act encourages:
A. Voluntary settlement
B. Court interference
C. Criminal remedies
D. Unlimited appeals
Answer: A.
55. Minimum number of conciliators is:
A. One
B. Two
C. Three
D. Compulsory panel
Answer: A.
56. Conciliation can begin only through:
A. Court order
B. Request and acceptance
C. Police direction
D. Government notification
Answer: B – Under Section 62.
57. Confidentiality in conciliation is provided under:
A. Section 70
B. Section 75
C. Section 72
D. Section 89 CPC
Answer: B.
58. Settlement agreement by conciliator is called:
A. Consent order
B. Award
C. Final Settlement
D. Settlement agreement
Answer: D – Section 73.
59. Settlement agreement becomes final when:
A. Signed by parties
B. Signed + authenticated by conciliator
C. Filed in court
D. Notarized
Answer: B.
60. Arbitrator may encourage mediation under:
A. Section 30
B. Section 20
C. Section 18
D. Section 17
Answer: A – Encouragement of settlement.
61. Arbitration clause can be contained in:
A. Contract
B. Emails
C. Exchange of letters
D. All of the above
Answer: D.
62. Arbitration without agreement is:
A. Possible
B. Not possible
C. Possible with court order
D. Allowed in family disputes
Answer: B.
63. Arbitrator acts like:
A. Judge
B. Mediator
C. Negotiator
D. Case manager
Answer: A – Gives binding decision.
64. Fees of arbitrator typically follow:
A. Court rules
B. Schedule IV (for ad hoc)
C. Income Tax Act
D. Evidence Act
Answer: B.
65. Arbitral tribunal must treat parties equally under:
A. Section 18
B. Section 20
C. Section 28
D. Section 32
Answer: A.
66. Arbitrator can terminate proceedings under:
A. Section 32
B. Section 36
C. Section 17
D. Section 24
Answer: A.
67. Arbitration award may include:
A. Costs
B. Interest
C. Reasons
D. All
Answer: D.
68. Non-speaking awards (without reasons) are:
A. Valid always
B. Invalid except where parties agree
C. Mandatory
D. Required
Answer: B – Reasons required unless waived.
69. Arbitration in family disputes is:
A. Encouraged
B. Discouraged
C. Prohibited
D. Mandatory
Answer: B – Matters like divorce, custody, criminal offences are non-arbitrable.
70. Non-arbitrable subject matters include:
A. Criminal offences
B. Matrimonial disputes
C. Tenancy under rent control
D. All
Answer: D.
71. Landmark case defining non-arbitrable disputes:
A. Booz Allen and Hamilton v SBI
B. Maneka Gandhi
C. Shreya Singhal
D. Kesavananda Bharati
Answer: A.
72. State as a party can enter arbitration agreements.
A. True
B. False
Answer: A.
73. Arbitrator must disclose conflicts under:
A. Section 12(1)
B. Section 2(7)
C. Section 15
D. Section 33
Answer: A.
74. Disclosure must follow:
A. Fifth and Seventh Schedules
B. Second Schedule
C. Eighth Schedule
D. No schedule
Answer: A.
75. Seventh Schedule issues lead to:
A. Automatic ineligibility
B. No effect
C. Higher fees
D. Judicial review
Answer: A.
76. Challenge procedure is under:
A. Section 13
B. Section 34
C. Section 28
D. Section 31
Answer: A.
77. Challenge to arbitrator must be made within:
A. 15 days
B. 30 days
C. 45 days
D. 60 days
Answer: A – From knowledge of grounds.
78. Arbitrator may resign under:
A. Section 15
B. Section 13
C. Section 12
D. Section 32
Answer: A.
79. Arbitrator’s termination leads to:
A. End of arbitration
B. Substitution of another arbitrator
C. Court intervention only
D. New contract
Answer: B.
80. Arbitral tribunal can award interim measures equal to:
A. Section 9 powers
B. Lesser than court
C. Greater than court
D. Only for property
Answer: A – Post-2015 amendments.
81. Mediation promotes:
A. Win–win solutions
B. Win–lose decisions
C. Court battles
D. Formal evidence
Answer: A.
82. Mediator must be:
A. Neutral
B. Partial to one side
C. Government officer only
D. Judge
Answer: A.
83. Mediation communications are:
A. Admissible as evidence
B. Confidential
C. Public documents
D. Published in court
Answer: B.
84. Mediation Act allows:
A. Online mediation
B. Community mediation
C. Institutional mediation
D. All
Answer: D.
85. Mediation settlement binds:
A. Only plaintiff
B. Both parties
C. Court
D. Mediator
Answer: B.
86. Arbitration clause can be invoked in consumer disputes?
A. Always
B. Never
C. Only when consumer agrees freely
D. Mandatory
Answer: C – Supreme Court allows voluntary reference.
87. Arbitration clause in an insurance contract is:
A. Binding
B. Always void
C. Depends on policy terms
D. Not allowed
Answer: A.
88. Arbitrator can award specific performance?
A. Yes
B. No
C. Only with court permission
D. Only for property disputes
Answer: A – As per 1996 Act.
89. Arbitration award enforceable as:
A. Decree
B. FIR
C. Administrative order
D. Tax notice
Answer: A – Section 36.
90. Enforcement petition is filed before:
A. Trial court
B. Court having jurisdiction over judgment debtor
C. Supreme Court
D. Lok Adalat
Answer: B.
91. Arbitrator’s mandate terminates when:
A. Award is made
B. Parties settle
C. Court terminates
D. All
Answer: D.
92. Arbitration is typically faster because:
A. Less strict procedures
B. Flexible timelines
C. Party autonomy
D. All
Answer: D.
93. Arbitrator cannot:
A. Summon witnesses
B. Administer oaths
C. Order police investigation
D. Accept evidence
Answer: C.
94. A party can participate under protest and still challenge jurisdiction.
A. True
B. False
Answer: A – Allowed under Section 16.
95. Arbitral award may be set aside for:
A. Fraud
B. Breach of natural justice
C. Public policy
D. All
Answer: D.
96. Award cannot be set aside for:
A. Error of fact
B. Patent illegality
C. Corruption
D. Conflict of interest
Answer: A – Courts do not reappreciate evidence.
97. Courts encourage ADR through:
A. Section 89 CPC
B. CrPC
C. TPA
D. Evidence Act
Answer: A.
98. Arbitrator may correct computational errors under:
A. Section 33
B. Section 9
C. Section 13
D. Section 30
Answer: A.
99. Additional award may be sought under:
A. Section 33(4)
B. Section 25
C. Section 18
D. Section 45
Answer: A.
100. Arbitration promotes:
A. Party autonomy
B. Speed
C. Confidentiality
D. All
Answer: D – Core objectives of ADR

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