Arbitration
Petition Under Section 34 Not Maintainable Against Rejection Of Application Under Section 16 By Arbitrator: Gujarat High Court
The Gujarat High Court bench of Chief Justice Sunita Agarwal and Justice Aniruddha P. Mayee has held a petition under Section 34 of the Arbitration and Conciliation Act, 1996 is not maintainable against the order of rejection of the application under Section 16 challenging challenging the jurisdiction of an arbitrator on the plea of res judicata and bar under Order 2 Rule 2 CPC.Order 2 Rule...
Telangana HC Explains Section 31(7)(A) And (B) Of The A&C Act,1996 In Terms Of Timeframes, Embargo & Discretion
The Telangana High Court division bench of Justice Moushumi Bhattacharya and Justice M. G. Priyadarsini has held the arbitral tribunal has full authority to award interest from the date of the award until the date of payment, regardless of any contrary decision by the parties. If the award is silent on the rate of interest, the award holder is entitled to an interest rate 2% higher than...
Non-Signatories Can Be Included In Arbitration Beyond Group Company Ties: Delhi High Court
The Delhi High Court bench of Justice C. Hari Shankar has held the inclusion of a non-signatory in arbitral proceedings is not solely dependent on the non-signatory being part of the same group of companies as the signatory.The bench further clarified that a non-signatory can be included in arbitration if there is a contractual relationship that makes the non-signatory partially or...
Allahabad High Court Sets Aside Part Of Award Dealing With Non-Arbitrable Dispute
The Allahabad High Court has held that disputes regarding works undertaken by party independent of the contract which contains the arbitration agreement cannot be determined under such arbitration agreement.Section 70 of the Contract Act, 1872 provides that a party is bound to compensate the other party for the work done by the latter party when there was no intention to do the...
Misunderstanding Of Basic Contractual Framework Vitiates Arbitral Award: Delhi High Court
The Delhi High Court bench of Justice Sachin Datta has held that an award with misreading/misunderstanding of the basic contractual framework vitiates it at its root and makes it vulnerable to challenge under Section 34(2)(b)(ii) and 34(2A) of the Arbitration and Conciliation Act, 1996.Section 34(2)(b)(ii) provides a basis for challenging an arbitral award on the grounds of public policy....
Applicability Of Section 17 To Foreign Seated Arbitrations
Currently under the framework of the Arbitration and Conciliation Act, 1996 (“Act”), Section 17 (which deals with powers of the arbitration tribunal to grant interim measures) –by virtue of it being under Part I of the Act– is applicable only to arbitration that are seated in India. However, in arbitrations seated outside India, the party seeking interim reliefs against the...
Arbitration Weekly Round-up: 15th to 21st July, 2024
Supreme Court of India Arbitration | Referral Courts Must Not Conduct Intricate Enquiry On Whether Claims Are Time-Barred : Supreme Court Clarifies 'Arif Azim' Judgment Case Title: SBI GENERAL INSURANCE CO. LTD. Versus KRISH SPINNING Citation: 2024 LiveLaw (SC) 489 The Supreme Court held that while deciding a Section 11(6) petition for an appointment of an arbitrator,...
Arbitrator's Reliance On Unverified Evidence Violates Fundamental Policy Of India: Calcutta High Court
The Calcutta High Court bench of Justice Sabyasachi Bhattacharyya has held that evidence which does not qualify as pleadings supported by due verification or affidavit cannot be equated with proof of a claim. It held that the arbitrator's reliance on such evidence was contrary to the fundamental policy of Indian law. The bench further held that the arbitrator was not in a situation...
Dismissal Of First Execution Application On Default Ground Does Not Bar Fresh Petition: Calcutta High Court
The Calcutta High Court bench of Justice Sabyasachi Bhattacharyya has held mere dismissal of the first execution application on the ground of default does not prevent the award-holder/decree-holder from filing a fresh execution petition. The High Court held that the provisions of Rules 105 and 106 of Order 21 of the Code of Civil Procedure do not preclude the...
Ex-Parte Interim Measures Appealable Under Section 37 Of Arbitration Act, Courts Must Allow Appeal In Exceptional Cases: Karnataka High Court
The Karnataka High Court division bench of Justice Anu Sivaraman and Justice Anant Ramanath Hegde has held that ex-parte interim measures granted under Section 9 are appealable under Section 37 of the Arbitration and Conciliation Act, 1986. The High Court held that the nature of ex-parte interim measures is similar to final orders since they conclusively deny the relief sought....
Courts Can't Undertake Independent Assessment Of Award In Appeal U/s 37 Of Arbitration Act: Delhi High Court
The Delhi High Court division bench of Justice Yashwant Varma and Justice Dharmesh Sharma reiterated that while entertaining an arbitration appeal under Section 37 of the Arbitration Act, the role of a court is limited to ascertaining whether the exercise of power under Section 34 has exceeded the scope of the provision. In such cases, the High Court held that courts cannot undertake...
Disputed Contract, Can't Be Challenged U/s 34 Of Arbitration Act Unless finding are Unreasonable: Delhi High Court
The Delhi High Court division bench of Justice Vibhu Bakhru and Justice Tara Vitasta Ganju held that the interpretation of a disputed contract falls within the arbitral tribunal's domain and is not subject to challenge under Section 34 of the Arbitration and Conciliation Act, 1996 unless the interpretation is unreasonable. Brief Facts: Noble Chartering Inc. (“Noble”), a...