M/S. N.S. NAYAK & SONS vs STATE OF GOA

The Supreme Court ruled that the Arbitration Act, 1940 continues to govern arbitral proceedings that commenced before the Arbitration and Conciliation Act, 1996 came into force, as per Section 85(2)(a) of the New Act. The Court held that the arbitration clause did not stipulate a transition to the New Act once it was enacted, thus affirming the applicability of the Old Act for appeals related to awards made prior to the New Act's commencement. The appeals were dismissed, upholding the High Court's decision.