Unless otherwise agreed by the parties, where, without showing sufficient cause,—
(a) the claimant fails to communicate his statement of claim in accordance with sub-section (1) of section 23, the arbitral tribunal shall terminate the proceedings;
(b) the respondent fails to communicate his statement of defence in accordance with sub-section (1) of section 23, the arbitral tribunal shall continue the proceedings without treating that failure in itself as an admission of the allegations by the claimant and shall have the discretion to treat the right of the respondent to file such statement of defence as having been forfeited;
(c) a party fails to appear at an oral hearing or to produce documentary evidence, the arbitral tribunal may continue the proceedings and make the arbitral award on the evidence before it.
Legal Commentary & Landmark Judgments: Section 25
Section 25 of the Arbitration and Conciliation Act, 1996 governs the consequences of default of a party, empowering the tribunal to terminate proceedings if the claimant fails to communicate their statement of claim, or proceed ex parte if the respondent defaults without sufficient cause.
If representing a claimant unable to file a statement of claim due to unavoidable delay, file a detailed application showing 'sufficient cause' under Section 25(a); if proceedings were terminated, file a recall application citing Srei Infrastructure.