Section 83: Removal of difficulties

Arbitration and Conciliation Act, 1996 • Official Statutory Text & Practice Guide

Statutory Regulation
Legal Standard
Competent Court / Tribunal
Act 1996
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Legal Commentary & Landmark Judgments: Section 83

Section 83 of the Arbitration and Conciliation Act, 1996 was a transitional 'removal of difficulties' clause authorizing the Central Government to issue orders to resolve operational problems during the initial two-year implementation period.

  • Removal of Difficulties Power: If any difficulty arises in giving effect to the provisions of this Act, the Central Government may make such order not inconsistent with the provisions of this Act as appears necessary.
  • Two-Year Sunset Clause: Section 83(2): No order shall be made after the expiry of a period of two years from the commencement of this Act.
  • Laying Before Parliament: Every order made under this section was required to be laid before each House of Parliament.
  • Spent Historical Status: A spent provision that expired in August 1998.
Key Landmark Precedents:
  • Madeva Upendra Sinai v. Union of India, (1975) 3 SCC 765: The Constitution Bench established that removal of difficulties clauses cannot be used to rewrite substantive legislative policy.
  • Sundaram Finance Ltd. v. NEPC India Ltd., (1999) 2 SCC 479: Discussed the statutory transition under the 1996 Act.
Courtroom Practice & Strategic Litigation Guidance:

Section 83 is spent and expired; any future modifications to arbitration procedure can only be effected by formal Parliamentary amendment acts (such as the 2015, 2019, and 2021 amendments).