MCQ Question Bank on Arbitration and Conciliation Act, 1996 for Exams [150+ Objective Questions with Answers]
Arbitration and Conciliation Act, 1996 — MCQ Question Bank
1. Which part of the Arbitration and Conciliation Act, 1996 deals with Arbitration?
A) Part I
B) Part II
C) Part III
D) Part IV
Answer: A) Part I
2. The Arbitration and Conciliation Act, 1996 was enacted based on which model law?
A) UNCITRAL Model Law
B) Hague Convention
C) Geneva Convention
D) New York Convention
Answer: A) UNCITRAL Model Law
3. The maximum number of arbitrators in a tribunal unless otherwise agreed is:
A) One
B) Two
C) Three
D) Five
Answer: C) Three
4. Under the Act, the period to challenge an arbitrator after appointment is:
A) 7 days
B) 15 days
C) 30 days
D) 60 days
Answer: B) 15 days
5. Section 11 of the Arbitration and Conciliation Act deals with:
A) Appointment of arbitrator by the court
B) Termination of arbitral proceedings
C) Enforcement of arbitral awards
D) Conciliation proceedings
Answer: A) Appointment of arbitrator by the court
6. Which section deals with the competence of the arbitral tribunal to rule on its own jurisdiction?
A) Section 14
B) Section 16
C) Section 18
D) Section 22
Answer: B) Section 16
7. Which of the following is NOT a ground to challenge an arbitrator under Section 12?
A) Relationship with one party’s lawyer
B) Direct financial interest in dispute
C) Arbitrator’s nationality
D) Prior involvement in case as judge
Answer: C) Arbitrator’s nationality
8. Arbitration proceedings must be conducted in a manner:
A) Prescribed strictly by the Code of Civil Procedure
B) As parties agree or arbitrator decides
C) Fixed by the Supreme Court
D) Following criminal procedure
Answer: B) As parties agree or arbitrator decides
9. The enforcement of foreign arbitral awards in India is governed under:
A) Part I of the Act
B) Part II of the Act
C) Part III of the Act
D) Part IV of the Act
Answer: B) Part II of the Act
10. A conciliation proceeding terminates when:
A) Parties reach a settlement
B) Conciliator resigns
C) One party refuses to negotiate
D) Arbitrator is appointed
Answer: A) Parties reach a settlement
11. The term ‘conciliator’ is defined in which section?
A) Section 2(1)(a)
B) Section 2(1)(b)
C) Section 2(1)(c)
D) Section 2(1)(d)
Answer: B) Section 2(1)(b)
12. The award made by an arbitral tribunal is called:
A) Judgment
B) Decree
C) Arbitral Award
D) Order
Answer: C) Arbitral Award
13. Under the Act, which authority appoints arbitrators when parties fail to do so?
A) Supreme Court
B) High Court
C) Designated court under the Act
D) Lok Adalat
Answer: C) Designated court under the Act
14. The arbitral tribunal’s power to grant interim reliefs is provided under:
A) Section 8
B) Section 9
C) Section 17
D) Section 26
Answer: B) Section 9
15. The time limit to apply for setting aside an arbitral award is:
A) 30 days from the award date
B) 60 days from the award date
C) 90 days from the award date
D) 120 days from the award date
Answer: B) 60 days from the award date
16. The law applicable to the substance of dispute is covered under:
A) Section 18
B) Section 19
C) Section 20
D) Section 21
Answer: B) Section 19
17. Which section provides for confidentiality of conciliation proceedings?
A) Section 74
B) Section 75
C) Section 76
D) Section 77
Answer: B) Section 75
18. Which section empowers the arbitral tribunal to conduct the proceedings?
A) Section 18
B) Section 22
C) Section 24
D) Section 26
Answer: B) Section 22
19. The ‘kompetenz-kompetenz’ principle is embodied in:
A) Section 16
B) Section 17
C) Section 18
D) Section 22
Answer: A) Section 16
20. Which of the following is NOT true about conciliation?
A) It is binding only if parties sign a settlement
B) Conciliators can impose decisions on parties
C) It is voluntary in nature
D) It is a part of alternative dispute resolution
Answer: B) Conciliators can impose decisions on parties
21. Who can file an application to set aside an arbitral award?
A) Any third party
B) Only a party to the arbitration agreement
C) The arbitrator
D) The court
Answer: B) Only a party to the arbitration agreement
22. An arbitrator’s resignation must be communicated to:
A) The parties only
B) The appointing authority only
C) Both parties and appointing authority
D) The court
Answer: C) Both parties and appointing authority
23. If parties agree, the place of arbitration can be:
A) Only in India
B) Any place agreed upon
C) Only where the dispute arose
D) Only at the High Court location
Answer: B) Any place agreed upon
24. The arbitration agreement must be:
A) Oral or written
B) Only oral
C) In writing or in an electronic form
D) Only in electronic form
Answer: C) In writing or in an electronic form
25. The doctrine that arbitrators decide their own jurisdiction is called:
A) Res judicata
B) Stare decisis
C) Kompetenz-Kompetenz
D) Judicial Review
Answer: C) Kompetenz-Kompetenz
26. The term "conciliation" is defined under which part of the Act?
A) Part I
B) Part II
C) Part III
D) Part IV
Answer: C) Part III
27. The enforcement of foreign awards under the Act is subject to which international convention?
A) Geneva Convention
B) New York Convention
C) Paris Convention
D) Hague Convention
Answer: B) New York Convention
28. Under the Act, the time limit for rendering an arbitral award is:
A) 3 months from the constitution of tribunal
B) 6 months from the constitution of tribunal
C) 1 year from the constitution of tribunal
D) 2 years from the constitution of tribunal
Answer: B) 6 months from the constitution of tribunal (extendable)
29. Which section provides for termination of conciliation proceedings?
A) Section 69
B) Section 72
C) Section 74
D) Section 78
Answer: B) Section 72
30. Which is NOT a characteristic of arbitration under the Act?
A) Binding decision
B) Court-controlled process
C) Private and confidential
D) Flexible procedure
Answer: B) Court-controlled process
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