M/s. ALOPI PARSHAD & SONS, LTD. vs THE UNION OF INDIA

The Supreme Court held that an arbitration award can be set aside if there is an error apparent on the face of the award, as established under the Arbitration Act. The Court found that the award in question was vitiated by such an error, as the arbitrators had made a legal mistake in their reasoning. The Court upheld the High Court's decision to set aside the award, emphasizing that specific questions must be referred for the award to be binding despite errors in law.