Arbitration and Conciliation Act, 1996 · Chapter X
Section 40: Arbitration agreement not to be discharged by death of party thereto
In plain words
An arbitration agreement does not end when a party dies. It can be enforced by or against the legal representative.
- An arbitrator's mandate does not end because the party who appointed them dies.
- Laws under which a right of action ends on death still apply.
A simplified explanation, prepared with AI assistance from the official text below and checked automatically against it for numbers and cross-references. The official text is the law and prevails over this summary. Not legal advice.
Official text
(1) An arbitration agreement shall not be discharged by the death of any party thereto either as respects the deceased or as respects any other party, but shall in such event be enforceable by or against the legal representative of the deceased.
(2) The mandate of an arbitrator shall not be terminated by the death of any party by whom he was appointed.
(3) Nothing in this section shall affect the operation of any law by virtue of which any right of action is extinguished by the death of a person.
Source: India Code (indiacode.gov.in), the consolidated text published by the Legislative Department, Government of India. Text as updated on India Code on 16 October 2026. Words in square brackets [ ] were inserted or substituted by later amending Acts, and *** marks words omitted by an amendment. The amendment footnotes are not reproduced here. Official text on India Code.
Supreme Court judgments citing the section 40
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Rahul Verma & Ors. v. Rampat Lal Verma & Ors.
Issue arose whether the legal heirs of a deceased partner in a partnership firm, being non-signatories to the partnership deed and in the absence of their explicit consent, can still be bound by the arbitration…
- Ravi Prakash Goel v. Chandra Prakash Goel and Anr.