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Section 29B of the Arbitration and Conciliation Act, 1996: fast track procedure

The parties may, at any stage before or at the time of appointment of the tribunal, agree in writing to have their dispute resolved by the fast track procedure. They may agree on...

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Arbitration
Published
October 2, 2026
Last updated
Oct 8, 2026
Reading time
9 min
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Last updated: October 2026Applies to: FY 2026-27 (AY 2027-28)Verified against: Government sources

Section 29B lets the parties choose a shorter, documents-based route. They agree in writing, usually with a sole arbitrator, the tribunal decides mostly on written pleadings without an oral hearing, and the award is due within six months.

When fast track suits

Fast track is a choice, not the default. It suits disputes where the facts can be shown by documents, for example an unpaid invoice with a delivery challan, a purchase order and an e-mail trail. Where the dispute depends on cross-examining witnesses or on technical evidence, the ordinary procedure under sections 18 to 27 may fit better; see sections 18 and 19 and sections 24 and 25.

In the India Code consolidated text, section 29B follows section 29A in Chapter VI of Part I, "Making of arbitral award and termination of proceedings". The bracket that opens at section 29A closes at the end of section 29B(6), and its footnote shows the insertion as made by s. 15 of Act 3 of 2016, with effect from 23-10-2015. Section 29B has no footnote of its own and no State amendment entry. If you are thinking of adding a fast track clause to a contract, arbitration support can help you word it.

Sub-section (1): agreeing to fast track

"Notwithstanding anything contained in this Act, the parties to an arbitration agreement, may, at any stage either before or at the time of appointment of the arbitral tribunal, agree in writing to have their dispute resolved by fast track procedure specified in sub-section (3)."

Elements to note:

  • Both parties must agree, and the agreement must be in writing.
  • Timing. The agreement can be made at any stage before, or at the time of, appointment of the tribunal. The text consulted does not allow an agreement after the tribunal is appointed under this sub-section.
  • "Notwithstanding anything contained in this Act". The fast track rules take priority over other provisions of Part I to the extent of any inconsistency.

A fast track clause can be in the original contract, which is an agreement "before" appointment, or in a later written agreement made once the dispute has arisen.

Sub-section (2): a sole arbitrator

"The parties to the arbitration agreement, while agreeing for resolution of dispute by fast track procedure, may agree that the arbitral tribunal shall consist of a sole arbitrator who shall be chosen by the parties." This is optional: "may agree". If they do, the sole arbitrator is chosen by the parties. Section 10 on the number of arbitrators applies in the usual way; see section 10.

Sub-section (3): the procedure

ClauseRule
(a)The tribunal decides the dispute on the basis of written pleadings, documents and submissions filed by the parties, without any oral hearing
(b)The tribunal has power to call for further information or clarification from the parties in addition to the pleadings and documents
(c)An oral hearing may be held only if all the parties make a request or if the tribunal considers it necessary to have an oral hearing for clarifying certain issues
(d)If an oral hearing is held, the tribunal may dispense with technical formalities and adopt such procedure as deemed appropriate for expeditious disposal of the case

Compare section 24(1), where the tribunal decides between oral hearings and documents and must hold a hearing on a party's request unless the parties agreed that none be held. Under section 29B(3)(c), the position is narrower: a hearing only if all the parties request it or the tribunal considers it necessary. A single party's request is not enough.

Sub-section (4): six months

"The award under this section shall be made within a period of six months from the date the arbitral tribunal enters upon the reference."

The text consulted does not define "enters upon the reference" in section 29B, and section 29A as printed for the central text carries no explanation of the phrase either. The only place the text explains it is the Jammu and Kashmir and Ladakh entry printed under section 29A: there, an Explanation to the substituted sub-section (1) says the tribunal is deemed to have entered upon the reference on the date on which the arbitrator or all the arbitrators have received notice, in writing, of their appointment. That Explanation is worded "for the purposes of this sub-section" and belongs to a State entry. Whether the same reading applies to section 29B is not stated in the text consulted, so plan on the earliest plausible date, namely receipt of the appointment notice.

Sub-section (5): if the six months are missed

"If the award is not made within the period specified in sub-section (4), the provisions of sub-sections (3) to (9) of section 29A shall apply to the proceedings." The consequences are therefore those in section 29A: extension by consent for a further period not exceeding six months, termination of the mandate unless the Court extends, fee reduction, substitution and costs; see section 29A.

Note that the cross-reference is to sub-sections (3) to (9), so sub-section (1) of section 29A (the twelve months from completion of pleadings) and sub-section (2) (additional fees for an early award) are not imported.

Sub-section (6): fees

"The fees payable to the arbitrator and the manner of payment of the fees shall be such as may be agreed between the arbitrator and the parties." The Act sets no scale here, and the text consulted gives no figure. Agree fees in writing before the arbitrator starts.

Fast track against ordinary arbitration

PointOrdinary procedureFast track, section 29B
AgreementProcedure agreed under section 19 or set by tribunalWritten agreement before or at the time of appointment
TribunalAs agreed or as section 10 providesSole arbitrator may be agreed, chosen by parties
HearingTribunal decides; must hold on a party's request unless agreed otherwiseWritten only; oral hearing if all parties request or tribunal considers it necessary
Award periodTwelve months from completion of pleadings (domestic), under section 29A(1)Six months from the date the tribunal enters upon the reference
Late awardMandate terminates unless extended under section 29ASections 29A(3) to (9) apply
FeesAs agreed or as arbitrator and parties agreeAs agreed between arbitrator and parties

A worked example

Gupta Packaging and Thakur Retail have an invoice dispute of a modest amount. Before the arbitrator is appointed, they sign a short written agreement to use the fast track procedure and to appoint Ms. Rao as sole arbitrator. They each file written pleadings with invoices, delivery proofs and e-mails. The tribunal calls for a clarification on a credit note under clause (b). Neither party asks for an oral hearing, and the tribunal does not consider one necessary, so it decides on the documents. If the award is not made within six months from the date the tribunal entered upon the reference, section 29A(3) to (9) applies.

Drafting points

  • If you want fast track available, add a clause: "the parties may, by written agreement before or at the time of appointment, adopt the procedure in section 29B".
  • Decide whether to name a sole arbitrator now or agree on one later.
  • Prepare full documents with the pleadings, since oral hearings are the exception.
  • Agree the arbitrator's fees in writing.
  • Diarise six months from the date the tribunal enters upon the reference.
  • See our arbitration clause draft for commercial contracts.

Need help with a fast track clause or procedure?

A fast track route works only if the agreement is in writing at the right time and the file is ready on documents. Our arbitration support team can help you draft the clause, choose the arbitrator and prepare the written pleadings.

Key takeaways

  • Fast track needs a written agreement of the parties, at any stage before or at the time of appointment of the tribunal.
  • A sole arbitrator chosen by the parties may be agreed.
  • Decision is on written pleadings and documents, with an oral hearing only if all parties request it or the tribunal considers it necessary.
  • The award is due within six months from the date the tribunal enters upon the reference; sections 29A(3) to (9) apply if missed.
  • Fees are as agreed between the arbitrator and the parties.

Read next

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.

Quick recapKey facts & short answers

Key Facts About Section 29B

  • Applies in: All states across India, under the relevant central law.
  • Mode: Mostly online via the official government portal.
  • Typical timeline: Ranges from a few days to a few weeks depending on the case.
  • Non-compliance: May attract penalties, interest or late fees.
  • Expert help: TaxClue completes the entire process end to end for you.

How do we opt for fast track?

By agreeing in writing, at any stage before or at the time of appointment of the tribunal, to have the dispute resolved by the fast track procedure.

Do we have to use a sole arbitrator?

No. Sub-section (2) says the parties may agree on a sole arbitrator chosen by them.

A penalty is the visible cost of a delay; the lost time and credibility are the larger part.

— TaxClue Compliance Desk

Section 29B: a key compliance topic in Indian tax and corporate law that businesses and individuals must understand to remain compliant.

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Disclaimer: This article is for general informational purposes only and does not constitute professional tax, legal or financial advice. Laws, rates and due dates change and can vary by individual case — always verify with the relevant government source (e.g. mca.gov.in, incometax.gov.in) or consult a qualified professional before acting. TaxClue accepts no liability for decisions taken based on this content.

People also ask

Questions, answered

Short, direct answers to the 6 questions readers ask most on this topic.

By agreeing in writing, at any stage before or at the time of appointment of the tribunal, to have the dispute resolved by the fast track procedure.

No. Sub-section (2) says the parties may agree on a sole arbitrator chosen by them.

Only if all the parties request it or the tribunal considers it necessary to clarify certain issues.

Six months from the date the tribunal enters upon the reference.

Sections 29A(3) to (9) apply, including the court extension route.

They are as agreed between the arbitrator and the parties.