A Hindu Hindu coparcenory comprises of the Male ancestor and 3 generations below him which includes the son, grandson and great grandson
Therefore the grandson continues to remain a coparcenor of the GF huf
The son can also form a separate smaller HUF comprising of himself and his sons. However since the son (the father) got separated from the larger HUF, the share which he received in such arbitration award became his self acquired property in which his son (the son's son) will not have any right till the father is alive