Guruji’s Step-by-Step Study Plan of The Arbitration and Conciliation Act, 1996

Step 4: 18-09-2025

👋 Dear friends, ✨
👉 Get ready, friends! Time to decode India’s arbitration law with laughter, logic, and learning. 😅⚖️

Guruji’s Step-by-Step Study Plan 👇

PART I- ARBITRATION

CHAPTER I: General provisions

THE ARBITRATION AND CONCILIATION ACT, 1996: SEC 3.

SEC 3. Receipt of written communications:

(1) Unless otherwise agreed by the parties,—

(a) any written communication is deemed to have been received if it is delivered to the addressee personally or at his place of business, habitual residence or mailing address, and

(b) if none of the places referred to in clause (a) can be found after making a reasonable inquiry, a written communication is deemed to have been received if it is sent to the addressee’s last known place of business, habitual residence or mailing address by registered letter or by any other means which provides a record of the attempt to deliver it.

(2) The communication is deemed to have been received on the day it is so delivered.

(3) This section does not apply to written communications in respect of proceedings of any judicial authority.

Guruji’s Step-by-Step Study Plan with illustrations 👇

Let’s break down Section 3 of the Arbitration and Conciliation Act, 1996 in simple English, and then I’ll give insights with illustrations (examples) so it becomes crystal clear.

📜 Section 3 – Receipt of Written Communications

Plain English Meaning:
This section explains when a written communication is considered “received” in arbitration and conciliation proceedings. It prevents parties from avoiding notices by playing hide-and-seek.

🔑 Key Insights

1. Normal Mode of Delivery (Clause a)

communication is considered received if delivered to:

The person directly (hand delivery)

Their office (place of business)

Their home (habitual residence)

Their postal/mailing address

👉 Illustration 1:
Mr. A sends a notice of arbitration to Mr. B’s office address. Even if Mr. B claims, “I was on vacation,” the law treats it as received because it reached his office. ✅

2. Last Known Address Rule (Clause b)

If none of the above addresses can be found after reasonable inquiry, the notice can be sent to the last known address by:Registered post 📮

Any method that provides proof of delivery attempt (like courier tracking or email with delivery receipt).

👉 Illustration 2:
Company X has shut down its office. The claimant sends the notice to the company’s last known registered office address by speed post. Even if the company doesn’t collect it, the law treats it as received because proof of attempt exists. ✅

3. Date of Receipt (Sub-section 2)

The communication is treated as received on the date it is delivered (not when the person actually opens or reads it).

👉 Illustration 3:
An arbitration notice is delivered by courier on 1st September. The addressee opens it only on 10th September. Legally, the receipt date = 1st September. ✅

4. Exclusion for Judicial Proceedings (Sub-section 3)

This rule does not apply to communications with a court/judicial authority.

Court procedures follow their own rules of service (like Order V of CPC).

👉 Illustration 4:
If a party files a petition under Section 9 of the Arbitration Act (interim relief before a court), serving notice on the opposite party will be governed by court procedure, not Section 3. ✅

⚖️ Why is Section 3 Important?

Prevents Delay Tactics: Parties can’t escape arbitration by saying, “I didn’t receive the notice.”

Legal Certainty: Fixes a clear date of receipt → important for calculating deadlines (like response time under Section 11 or 34).

Global Standard: Aligns with UNCITRAL Model Law, ensuring India’s arbitration law matches international best practices.

🖼️ Simple Illustration Flow (Step-wise)

Step 1: Party A sends a notice to Party B’s office → Received ✔️
Step 2: If office closed, sends to last known address by registered post → Deemed received ✔️
Step 3: Date of delivery = Date of receipt, not when Party B reads it 📅
Step 4: If court proceedings → Court rules apply, not this section ⚖️

✅ Guruji’s Easy Formula:
“Arbitration notice is like a wedding invitation card 💌 – once it reaches your house or last known address, it is considered delivered. Whether you attend the wedding or not is your choice, but you can’t say you didn’t get the invite!” 😂

Dear Friends,

🚀 Step 4 done… Step 5 coming tomorrow! Guruji doesn’t deliver pizza, only wisdom 🍕

😂 Don’t run away! Guruji’s Step 4 will land tomorrow like a hot samosa from the kadai!