LatestLegal Updates 1 October 2026
Delhi Court Mandates Stamp on Arbitration
The Delhi High Court in the URC Construction v. Airports Authority of India case held that a domestic arbitral award is subject to stamp duty, rejecting the defence of deferred payment at enforcement. The ruling clarifies that stamp duty liability arises at the time of award signing, not later, impacting how parties handle arbitration costs and compliance across India.
The Delhi High Court ruled that a domestic arbitral award must be stamped, overturning the argument that stamp duty can be deferred until enforcement.
- Key point: Stamp duty becomes payable when the award is signed, not later.
- Impact: Parties in Indian arbitrations must budget for stamp duty up‑front, changing cost calculations and compliance practices.
- Case reference: URC Construction Ltd. vs. Airports Authority of India.
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