#pre-award interest

The Calcutta High Court has ruled that executing courts lack authority to alter the interest period or amount specified in a final arbitral award, even if the debtor claims a bona fide dispute. This upholds the sanctity of arbitral awards under Section 36 ACA and prevents collateral challenges during enforcement, directly impacting award holders seeking precise recovery and debtors attempting to renegotiate terms post-award.

Supreme Court holds that contractual bars on pre-award interest are enforceable under Section 31(7)(a) of the Arbitration Act, but post-award interest is statutory and cannot be contracted out.