(1) The Arbitration (Protocol and Convention) Act, 1937 (6 of 1937), the Arbitration Act, 1940 (10 of 1940) and the Foreign Awards (Recognition and Enforcement) Act, 1961 (45 of 1961) are hereby repealed.
(2) Notwithstanding such repeal,—
(a) the provisions of the said enactments shall apply in relation to arbitral proceedings which commenced before this Act came into force unless otherwise agreed by the parties but this Act shall apply in relation to arbitral proceedings which commenced on or after this Act comes into force;
(b) all rules made and notifications published, under the said enactments shall, to the extent to which they are not inconsistent with this Act, be deemed to have been made or published under the corresponding provisions of this Act.
Legal Commentary & Landmark Judgments: Section 85
Section 85 of the Arbitration and Conciliation Act, 1996 formally repealed the Arbitration (Protocol and Convention) Act, 1937, the Indian Arbitration Act, 1940, and the Foreign Awards (Recognition and Enforcement) Act, 1961, while incorporating a comprehensive savings clause.
Section 85 marks the decisive boundary between the old 1940 Act regime and modern arbitration; for all agreements and disputes where Section 21 notice was issued after 22nd August 1996, the 1996 Act applies exclusively.