Arbitration Act 1940 Part 1

1. Question 1 of 75

   Under section 12(1), where the Court removes an umpire who has NOT entered on the reference, or one or more (but not all) arbitrators, the Court may:

   A Appoint persons to fill the vacancies, on the application of any party to the arbitration agreement B Order that the arbitration agreement cease to have effect C Appoint a sole arbitrator in place of all D Proceed to decide the dispute itself
2. Question 2 of 75

   The preamble of the Arbitration Act, 1940 states that it is expedient to do what to the law relating to arbitration?

   A Consolidate and amend it B Codify and repeal it C Simplify and restate it D Consolidate and repeal it
3. Question 3 of 75

   An award made by a sole arbitrator appointed under section 9(b) is:

   A Binding only on the defaulting party B Binding on both parties as if he had been appointed by consent C Binding only if confirmed by the Court D Provisional until the defaulting party is heard
4. Question 4 of 75

   Under section 11(2), the Court may remove an arbitrator or umpire who:

   A Has made an interim award B Has misconducted himself or the proceedings C Has stated the award in the form of a special case D Has corrected a clerical error in the award
5. Question 5 of 75

   Under section 1(2), the Arbitration Act, 1940 extends to:

   A Only the Provinces, excluding the Federal Capital B Only areas notified by the Federal Government C The whole of Pakistan except the Tribal Areas D The whole of Pakistan
6. Question 6 of 75

   Under section 11(4), the expression 'proceeding with the reference' includes, where reference to the umpire becomes necessary:

   A Filing the arbitrators' minutes in Court B Obtaining the leave of the Court C Delivering the arbitrators' papers to the umpire within one month D Giving notice of that fact to the parties and to the umpire
7. Question 7 of 75

   Section 6(3) preserves the operation of any law by virtue of which:

   A An arbitration agreement is discharged by insolvency B A right of action is extinguished by the death of a person C An award becomes void on the death of the arbitrator D Limitation is suspended on the death of a party
8. Question 8 of 75

   Under section 16(1)(b), the Court may remit an award where the award is:

   A So indefinite as to be incapable of execution B Made after the time fixed has expired C Not supported by reasons in sufficient detail D In excess of the matters referred
9. Question 9 of 75

   An application under section 7(2) directing that a matter be referred to arbitration is made to:

   A The Court having jurisdiction in the insolvency proceedings B The Court in which the award may be filed C The High Court D Any Civil Court having jurisdiction over the subject-matter
10. Question 10 of 75

    What must be filed in Court along with the award under section 14(2)?

    A Any depositions and documents which may have been taken and proved before the arbitrators B A certified copy of the arbitration agreement only C The arbitrators' bill of costs only D A statement of the reasons for the award
11. Question 11 of 75

    Under section 3, an arbitration agreement is deemed to include the provisions set out in the First Schedule:

    A In all cases, without exception B Only if the Court so orders C Only where the reference is to a sole arbitrator D Unless a different intention is expressed therein
12. Question 12 of 75

    A precondition to appointing one's own arbitrator as sole arbitrator under section 9(b) is that the appointing party:

    A Had appointed his arbitrator before giving the notice B Had obtained the leave of the Court before giving the notice C Had given two successive notices D Had offered to accept the other party's nominee
13. Question 13 of 75

    Which Schedules to the Arbitration Act, 1940 remain operative?

    A The First and the Second Schedules B The First Schedule only C The Second and the Third Schedules D All four Schedules
14. Question 14 of 75

    Chapter II of the Arbitration Act, 1940 deals with:

    A Arbitration with intervention of a Court where there is no suit pending B Arbitration without intervention of a Court C Arbitration in suits D Appeals
15. Question 15 of 75

    Under section 2(c), 'Court' means a Civil Court having jurisdiction to decide the question forming the subject-matter of the reference:

    A If the parties have agreed to confer jurisdiction on it B If the same had been the subject-matter of a suit C If it is a Court of the District Judge or above D If the award has already been filed in it
16. Question 16 of 75

    Under section 14(1), when the arbitrators or umpire have made their award they must sign it and give notice in writing to the parties of:

    A The date fixed for filing the award in Court B The reasons on which the award proceeds C The making and signing of the award and the amount of fees and charges payable in respect of the arbitration and award D The time within which objections may be filed
17. Question 17 of 75

    Which two Schedules to the Arbitration Act, 1940 stand repealed?

    A The First and the Second Schedules B The Second and the Third Schedules C The Fourth Schedule only D The Third and the Fourth Schedules
18. Question 18 of 75

    Chapter I of the Arbitration Act, 1940 is headed:

    A Introductory B Preliminary C Definitions D General
19. Question 19 of 75

    Section 8 of the Act empowers which authority to appoint an arbitrator or umpire?

    A The High Court only B The Court C The party who gave notice D The Federal Government
20. Question 20 of 75

    Section 4 permits the parties to agree that the reference shall be to an arbitrator appointed by:

    A The Court alone B A person designated in the agreement either by name or as the holder for the time being of any office or appointment C The High Court on the application of either party D Any person nominated after the difference arises
21. Question 21 of 75

    Is an oral agreement to refer differences to arbitration an 'arbitration agreement' under the Act?

    A Yes, if both parties admit it B Yes, if it is later reduced to writing by the arbitrator C Yes, provided it concerns present differences only D No - section 2(a) requires a written agreement
22. Question 22 of 75

    Under section 9(b), a party may appoint his own arbitrator as sole arbitrator if the other party fails to appoint for how long after service of a written notice?

    A Thirty clear days B Ten clear days C Two months D Fifteen clear days
23. Question 23 of 75

    Under section 2(a), an 'arbitration agreement' means:

    A Any agreement, oral or written, to submit present differences to arbitration B A written agreement to submit present or future differences to arbitration, whether an arbitrator is named therein or not C A written agreement to submit present differences only, in which an arbitrator must be named D A registered agreement to submit future differences to a named arbitrator
24. Question 24 of 75

    The opening words of section 2 make the definitions subject to what qualification?

    A Unless the parties agree otherwise in writing B Unless the Court otherwise directs C Unless the arbitration agreement provides a different meaning D Unless there is anything repugnant in the subject or context
25. Question 25 of 75

    Under section 10(1), where the agreement provides for three arbitrators - one by each party and the third by the two appointed - the agreement takes effect as if it provided for:

    A The appointment of a third arbitrator by the Court B The appointment of an umpire, and not a third arbitrator, by the two arbitrators appointed by the parties C A reference to a sole arbitrator D The appointment of a third arbitrator by consent of the parties
26. Question 26 of 75

    The Explanation to section 9 is expressed to operate for the purposes of section 9 and which other section?

    A Section 8 B Section 11 C Section 12 D Section 10
27. Question 27 of 75

    Under section 6(2), the authority of an arbitrator is:

    A Not revoked by the death of the party who appointed him B Revoked by the death of the party who appointed him C Revoked by the death of any party to the reference D Suspended until the legal representative confirms the appointment
28. Question 28 of 75

    An arbitrator appointed by the Court under section 8(2) has:

    A Like power to act in the reference and make an award as if appointed by consent of all parties B Power only to record evidence and report to the Court C Power limited by the terms of the Court's order in every case D No power to make an award without the Court's confirmation
29. Question 29 of 75

    Under section 16(2), when the Court remits an award it must:

    A Direct that a fresh arbitrator be appointed B Order the parties to bear the costs of remission C Fix the time within which the arbitrator or umpire shall submit his decision to the Court D Refer the question of law to the High Court
30. Question 30 of 75

    A person appointed by the Court under section 12(3) as arbitrator or umpire has:

    A Power subject to confirmation of the award by the Court B Power only to complete proceedings already begun C The like power to act in the reference and make an award as if appointed in accordance with the arbitration agreement D Power limited to the matters specified in the Court's order
31. Question 31 of 75

    Under section 13(a), the arbitrator or umpire may administer oath to:

    A The parties only B The parties and witnesses appearing C Witnesses only D Any person whose evidence the Court directs to be taken
32. Question 32 of 75

    Which sections make up Chapter II of the Arbitration Act, 1940?

    A Sections 3 to 20 B Sections 2 to 19 C Sections 3 to 19 D Sections 3 to 25
33. Question 33 of 75

    Section 9 applies where an arbitration agreement provides that the reference shall be to:

    A A sole arbitrator B Three arbitrators C Two arbitrators, one to be appointed by each party D An arbitrator appointed by a designated third party
34. Question 34 of 75

    Which of the following is NOT defined in section 2 of the Arbitration Act, 1940?

    A Award B Reference C Umpire D Legal representative
35. Question 35 of 75

    An arbitrator or umpire removed under section 11 is, under sub-section (3):

    A Entitled to remuneration proportionate to work done B Entitled to remuneration as fixed by the Court C Not entitled to receive any remuneration in respect of his services D Entitled to his full agreed fee
36. Question 36 of 75

    Under section 2(d), 'legal representative' includes a person who:

    A Is nominated in the arbitration agreement to act after a party's death B Is appointed receiver of the estate by the Court C Is a creditor of the deceased's estate D Intermeddles with the estate of the deceased
37. Question 37 of 75

    Under section 15(a), the Court may modify an award where part of it is upon a matter not referred to arbitration, provided that part:

    A Is of trifling value B Can be separated from the other part and does not affect the decision on the matter referred C Was included with the consent of one party only D Is capable of being severed by the arbitrator himself
38. Question 38 of 75

    Under section 10(2), where three arbitrators are to be appointed otherwise than as described in sub-section (1), whose award prevails?

    A The award of the presiding arbitrator B The award of the umpire C The award of the majority, unless the arbitration agreement otherwise provides D The award of the arbitrator appointed first in time
39. Question 39 of 75

    Section 49 of the Arbitration Act, 1940 (Repeals and amendments) was repealed by which enactment?

    A The Repealing and Amending Act, 1942 (XXV of 1942) B The Central Laws (Statute Reform) Ordinance, 1960 C The Repealing and Amending Act, 1945 (VI of 1945) D The Arbitration (Amendment) Ordinance, 1981
40. Question 40 of 75

    How many grounds for remitting an award are listed in section 16(1)?

    A Two B Four C Five D Three
41. Question 41 of 75

    Under section 13(d), the arbitrator or umpire may correct in an award:

    A Any error of law apparent on the face of the award B Any finding of fact shown to be erroneous C Any part of the award not referred to arbitration D Any clerical mistake or error arising from an accidental slip or omission
42. Question 42 of 75

    Under section 2(c), a Small Cause Court is excluded from the definition of 'Court' except for the purpose of arbitration proceedings under which section?

    A Section 20 B Section 34 C Section 21 D Section 14
43. Question 43 of 75

    Under section 7(1), where an insolvent is party to a contract containing an arbitration term, that term is enforceable by or against the receiver:

    A In all cases, whether or not the receiver adopts the contract B Only with the leave of the insolvency Court C If the receiver adopts the contract D Only where the differences arose before adjudication
44. Question 44 of 75

    Section 15 of the Arbitration Act, 1940 confers on the Court the power to:

    A Remit an award for reconsideration B Set aside an award C Supersede the arbitration D Modify or correct an award
45. Question 45 of 75

    Section 16 of the Arbitration Act, 1940 confers on the Court the power to:

    A Modify or correct the award B Set aside the award C Remit the award or any matter referred to arbitration for reconsideration D Enlarge the time for making the award
46. Question 46 of 75

    Under section 2(e), 'reference' means:

    A A reference to arbitration B A reference by the Court to the High Court on a question of law C The document by which disputes are submitted D A reference of a special case for the opinion of the Court
47. Question 47 of 75

    How many grounds are listed in section 15 for modifying or correcting an award?

    A Three B Two C Four D Five
48. Question 48 of 75

    Under section 8(2), the Court may appoint an arbitrator if the appointment is not made within what period after service of the written notice?

    A Thirty clear days B Seven clear days C Fifteen clear days D One month
49. Question 49 of 75

    Under section 13(b), the arbitrator or umpire may state a special case for the opinion of the Court on:

    A Any question of fact in dispute B Any question of law involved C The quantum of costs D The validity of the arbitration agreement
50. Question 50 of 75

    Under the Explanation to section 9, failure of an arbitrator or umpire to comply with a request to enter on and proceed with the reference within what period may constitute neglect or refusal to act?

    A Fifteen days B Two months C Four months D One month
51. Question 51 of 75

    Under section 16(1)(c), the Court may remit an award where an objection to the legality of the award is:

    A Raised by any party within thirty days B Apparent upon the face of it C Established by evidence on affidavit D Certified by the arbitrator
52. Question 52 of 75

    Section 3 of the Act imports the implied conditions from which Schedule?

    A The First Schedule B The Second Schedule C The Third Schedule D The Fourth Schedule
53. Question 53 of 75

    Under section 13(c), the arbitrator or umpire has power to:

    A Make the award provisional pending appeal B Make the award binding on non-parties C Make the award conditional or in the alternative D Make the award enforceable as a decree
54. Question 54 of 75

    Under the proviso to section 9, the Court may set aside an appointment as sole arbitrator made under clause (b) and:

    A Appoint an umpire in his place B Order that the arbitration agreement cease to have effect C On sufficient cause being shown, allow further time to the defaulting party to appoint an arbitrator, or pass such other order as it thinks fit D Direct that the suit proceed in the ordinary way
55. Question 55 of 75

    Under section 2(b), 'award' means:

    A An arbitration award B A decree passed in terms of an arbitration award C The final decision of an umpire only D Any order of the Court under the Act
56. Question 56 of 75

    Under section 1(3), the Arbitration Act, 1940 came into force on which date?

    A 11 March 1940 B 1 January 1941 C 1 July 1940 D 1 April 1940
57. Question 57 of 75

    Under section 6(1), an arbitration agreement is:

    A Automatically discharged by the death of any party B Discharged only as respects the deceased party C Suspended until a legal representative is brought on record by the Court D Not discharged by the death of any party, and is enforceable by or against the legal representative of the deceased
58. Question 58 of 75

    Under section 7(3), the expression 'receiver' includes:

    A A liquidator appointed by the Court B An administrator of the estate C A trustee under a deed of arrangement D An Official Assignee
59. Question 59 of 75

    Must an arbitration agreement under the Arbitration Act, 1940 name the arbitrator to be valid?

    A Yes - naming an arbitrator is essential to validity B Yes, unless the Court dispenses with the requirement C No - section 2(a) expressly says it is immaterial whether an arbitrator is named or not D Only where the reference is to more than one arbitrator
60. Question 60 of 75

    Under section 14(3), where the arbitrators or umpire state a special case under section 13(b), the Court shall pronounce its opinion and that opinion:

    A Shall be binding on the Court in any appeal B Shall supersede the award to that extent C Shall be added to, and shall form part of, the award D Shall be recorded but shall not form part of the award
61. Question 61 of 75

    Under section 13(e), the arbitrator or umpire may administer to any party such what, as may in his opinion be necessary?

    A Interrogatories B Commissions C Summonses to produce documents D Warrants of attachment
62. Question 62 of 75

    After the award is filed under section 14(2), what must the Court do?

    A Pronounce judgment forthwith in terms of the award B Give notice to the parties of the filing of the award C Fix a date for the arbitrator's examination D Direct the arbitrator to state the reasons for the award
63. Question 63 of 75

    Which of the following is one of the three cases listed in section 8(1) in which the notice-to-concur machinery applies?

    A Where the arbitrator has made an award beyond time B Where an appointed arbitrator or umpire neglects or refuses to act, or is incapable of acting, or dies, and the vacancy is not supplied C Where a party has become insolvent D Where the award has been remitted for reconsideration
64. Question 64 of 75

    Under section 12(2), where the Court removes a sole arbitrator or all the arbitrators, it may either appoint a person to act as sole arbitrator or:

    A Supersede the arbitration and proceed with the suit B Order that the arbitration agreement shall cease to have effect with respect to the difference referred C Remit the matter to the parties for fresh agreement D Direct that the difference be tried by a Small Cause Court
65. Question 65 of 75

    Before the Court appoints an arbitrator under section 8(2), it must:

    A Record the consent of all parties in writing B Refer the question to the High Court C Direct the parties to attempt a fresh appointment D Give the other parties an opportunity of being heard
66. Question 66 of 75

    How many clauses does section 2 of the Arbitration Act, 1940 contain?

    A Four - clauses (a) to (d) B Five - clauses (a) to (e) C Six - clauses (a) to (f) D Three - clauses (a) to (c)
67. Question 67 of 75

    Under section 5, the authority of an appointed arbitrator or umpire is:

    A Freely revocable by either party at any time B Irrevocable in all circumstances C Not revocable except with the leave of the Court, unless a contrary intention is expressed in the arbitration agreement D Revocable only by the party who appointed him
68. Question 68 of 75

    Under section 10(3), where more than three arbitrators are appointed and they are equally divided in opinion, whose award prevails?

    A The award of the senior-most arbitrator B No award can be made and the reference lapses C The Court must decide the matter itself D The award of the umpire, unless the arbitration agreement otherwise provides
69. Question 69 of 75

    How many powers are enumerated in section 13 of the Arbitration Act, 1940?

    A Five - clauses (a) to (e) B Three - clauses (a) to (c) C Four - clauses (a) to (d) D Six - clauses (a) to (f)
70. Question 70 of 75

    How many sections does the Arbitration Act, 1940 contain (including section 49)?

    A 45 B 49 C 51 D 37
71. Question 71 of 75

    Under section 14(2), the arbitrators or umpire cause the award to be filed in Court at the request of a party or:

    A Only after the expiry of thirty days from the award B Only with the consent of all parties C Only where the award is for payment of money D If so directed by the Court
72. Question 72 of 75

    On what date did the Arbitration Act, 1940 receive assent / bear its date of enactment?

    A 1 July 1940 B 11 March 1940 C 11 March 1941 D 1 January 1940
73. Question 73 of 75

    Under section 11(1), the Court may remove an arbitrator or umpire who:

    A Fails to use all reasonable dispatch in entering on and proceeding with the reference and making an award B Has been appointed by only one of the parties C Refuses to state a special case for the opinion of the Court D Has accepted a fee higher than that fixed by the Court
74. Question 74 of 75

    Section 13 of the Act sets out the powers of:

    A The Court B The High Court C The parties to the reference D The arbitrator or umpire
75. Question 75 of 75

    The Arbitration Act, 1940 is which Act of the year 1940?

    A Act X of 1940 B Act V of 1940 C Act IX of 1940 D Act XI of 1940

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