Section 21 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
Section 21 is a single sentence, but a great deal depends on it. Unless the parties agree otherwise, arbitral proceedings for a particular dispute commence on the date on which a request for that dispute to be referred to arbitration is received by the respondent.
Unless otherwise agreed by the parties, arbitral proceedings in respect of a particular dispute commence on the date on which a request for that dispute to be referred to arbitration is received by the respondent. The date of receipt, not the date of sending, is the date that counts. Under section 3, receipt is deemed on the day of delivery by the means the section describes. This is as per the India Code consolidated text consulted. Limitation is dealt with in section 43, which has its own article.
What section 21 says
The full text: "Unless otherwise agreed by the parties, the arbitral proceedings in respect of a particular dispute commence on the date on which a request for that dispute to be referred to arbitration is received by the respondent."
Three elements:
| Element | Meaning |
|---|---|
| "Unless otherwise agreed by the parties" | The contract or the rules adopted may fix a different commencement rule |
| "In respect of a particular dispute" | Commencement is dispute by dispute, not for the whole contract |
| "Request ... received by the respondent" | The trigger is receipt by the respondent of a request that the dispute be referred to arbitration |
The text shows no footnote of amendment and no State amendment for this section, which stands in Chapter V of Part I, "Conduct of arbitral proceedings". If you are about to send an arbitration request, a legal notice drafting review can make sure the request is clear and the delivery record is complete.
Why the date of commencement matters
Several other provisions in the text consulted refer to commencement or run from events linked to it. They are listed in the table.
| Section | How it connects to commencement |
|---|---|
| 3 | Receipt of a written communication is deemed on the day it is delivered, by the means the section lists; see sections 3 and 4 |
| 9(2) | If a Court passes an interim order before the arbitral proceedings commence, they must commence within ninety days from the date of the order or within such further time as the Court may determine; see section 9 |
| 23(4) | The statement of claim and defence shall be completed within six months from the date the arbitrator or all the arbitrators received notice in writing of their appointment; see section 23 |
| 29A(1) | The award in matters other than international commercial arbitration is due within twelve months from the date of completion of pleadings under section 23(4); see section 29A |
Note that the periods in sections 23(4) and 29A(1) do not run from the commencement date under section 21. They run from the appointment notice and from completion of pleadings. They run later, which is why this article treats them as periods that follow commencement, not as periods that start with it.
What section 21 does not say
- It does not say how a request must be worded or what it must contain. A clear request names the dispute, states that it is to be referred to arbitration and refers to the arbitration clause.
- It does not prescribe a form or a mode of delivery. Section 3 gives the default rules for deemed receipt unless the parties agree otherwise.
- It does not itself deal with limitation. Limitation is the subject of section 43, which refers back to the date in section 21; see our article on section 43 and the Limitation Act. We do not explain it here. For general background on time limits for civil claims, see our guides on the limitation period for contract suits and limitation periods for suits and appeals.
Practical steps when sending a request
- Check the contract first. The parties may have agreed a notice procedure or a different commencement rule. Section 21 applies "unless otherwise agreed".
- Describe the dispute precisely. Because commencement is "in respect of a particular dispute", a request that is vague about the dispute can leave doubt about which dispute has commenced.
- Deliver in a way that leaves a record. Section 3(1) deems receipt on delivery to the addressee personally or at the place of business, habitual residence or mailing address, with a fallback by registered letter or other means that gives a record of the attempt to deliver, after a reasonable inquiry. See our guide on service of documents on a company.
- Keep the proof. Acknowledgement, courier or postal record and any e-mail log should be kept, because the date of receipt may be argued later.
- Diarise the later periods. If a court order under section 9 is already in place, count the ninety days from the order, not from the request.
- Use a precise format. Our guides on legal notice format and drafting and on responding to a legal notice apply equally to an arbitration request.
A worked example
Singh Ceramics has a dispute with Arora Tiles about unpaid invoices. The contract has an arbitration clause and says nothing about commencement. On 3 June, Singh's lawyer sends a letter by courier to Arora's registered place of business, stating that the dispute over the invoices is referred to arbitration under the clause. The courier delivers it on 5 June. Under section 21, the arbitral proceedings in respect of that dispute commence on 5 June, the date of receipt, not 3 June. Had Singh earlier obtained an interim order from a court under section 9 on 10 May, the ninety days in section 9(2) would be counted from 10 May, and the request received on 5 June would be inside that period. The date that counts is receipt, not dispatch.
Different disputes, different dates
Because the section speaks of "a particular dispute", a second dispute under the same contract commences only when a separate request for it is received. A party who wants all claims to be covered should list them in the request, or send a further request later and keep the receipt dates distinct.
Need help with a notice invoking arbitration?
A request for arbitration is a short document with long consequences. Our legal notice drafting team can prepare or review the request, choose the delivery method and keep the proof of receipt in order.
Key takeaways
- Proceedings commence on the date the respondent receives the request that the dispute be referred to arbitration, unless otherwise agreed.
- Commencement is dispute by dispute.
- Section 3 governs deemed receipt unless the parties agreed otherwise.
- The ninety days in section 9(2) run from the court's order; the periods in sections 23(4) and 29A(1) run from other events.
- Limitation is dealt with in section 43, in a separate article.
Read next
- Sections 3 and 4: receipt of written communications and waiver
- Section 23: statements of claim and defence
- Section 29A: time limit for the award
- Legal notice: format, requirements and drafting tips
Disclaimer: Based on the India Code consolidated text of the Arbitration and Conciliation Act, 1996, whose footnotes show amendments up to Act 3 of 2021 and a latest date of 12 October 2023, as consulted on 2 October 2026. Rules, regulations and notifications under the Act, later amendments and the commencement of the Mediation Act, 2023 should be checked. This article is general information, not legal advice; check the official text before acting.