Provisions Of Uttar Pradesh Regulation Of Cold Storages Act, 1976 Do Not Exclude The Remedy Of Arbitration: Delhi High Court

The Delhi High Court has held that the provisions of Uttar Pradesh Regulation of Cold Storages Act, 1976 does not exclude the remedy of arbitration. The bench of Justice Neena Bansal Krishna held that the bar to arbitration or civil jurisdiction by necessary implication would apply only when the alternative remedy is a Complete Code in itself or provides a special statutory...

Final Purchase Order Not Issued, Still Contractor Entitled For Cost Of Preparatory Work Done : Delhi High Court

The Delhi High Court has held that A party is liable to be compensated for the costs of preparatory work carried out at the instance of the employer even when the final purchase order is not issued in its favour. The bench of Justice Sachin Datta upheld an arbitral award wherein the arbitral tribunal had awarded compensation to a party on the ground that it had carried out...

No Fresh Adjudication Can Take Place For Any Claim That Was Made Part Of Resolution Plan: Delhi HC

The Delhi High Court has held that once a resolution plan is approved by the CoC and the adjudicating authority, it results in the extinguishment of all the existing claims that any party may have against the corporate debtor and no fresh adjudication can take place for any claim that was made part of the resolution plan. The bench of Justice Yashwant Varma held that IBC does...

Absence Of A Contract Would Not Deprive The Party From A Reasonable Remuneration For The Work Performed: Delhi High Court

The Delhi High Court has held that absence of a contract would not deprive the contractor from a reasonable remuneration for the work performed. The bench of Justice Sachin Datta held that the principle of quantum meruit is enshrined under Section 70 of the Indian Contract Act which demands that a party which has done work and incurred expenses at the instance of another party must...

Claims Settled Under Resolution Plan Becomes Non-Arbitrable, Reference Of Those Claims Would Amount To Reopening Of The Resolution Plan: Delhi High Court

The Delhi High Court has held that any claim that has been settled under the resolution plan, even though at a nominal value of Rs. 1 only, would become non-arbitrable once the resolution plan is approved by CoC and affirmed by the adjudicating authority under the IBC. The bench of Justice Yashwant Varma held that the doctrine of clean slate demands that the successful...

Prolongation Compensation Can't Be Granted If The Contractor Didn't Reserve Claim For Compensation At The Time Of The EOT: Delhi High Court

The Delhi High Court has held that no compensation can be awarded for the prolongation of the contract if the contractor did not reserve its right to such compensation at the time of the seeking Extension of Time (EOT). Justice Manoj Kumar Ohri's bench upheld the Arbitral Tribunal's interpretation. They ruled that the Tribunal's decision, which denied the prolongation cost due to...

Arbitration Cases Weekly Round-Up: 2nd October To 8th October

High Courts: Calcutta High Court Party Eligible For Interim Protection U/S 9(1) Arbitration & Conciliation Act, Regressive To Relegate To CPC Procedure: Calcutta High Court Case: Prathyusha- AMR JV vs Orissa Steel Expressway Private Limited Citation: 2023 LiveLaw (Cal) 304 The Calcutta High Court has recently allowed applications for appointment of arbitrator u/s 11...

Whether Enforcement Of Foreign Arbitration Award Can Be Denied Due To Non-Stamping Of Arbitration Agreement? Delhi High Court To Examine

The Delhi High Court is set to examine whether the enforcement of a foreign arbitration award can be denied due to the non-stamping of the arbitration agreement. The bench of Justice Manoj Kumar Ohri has issued notice on a plea seeking to raise objection to the enforcement of the Singapore seated foreign arbitration award under Section 48 of the A&C Act. The award debtor...

Arbitration Monthly Round-Up: September 2023

Supreme Court: 'Every Arbitrator May Not Be Legally Trained, Some Decisions Are Based On Equity' : Supreme Court Explains Scope Of Judicial Interference In Arbitral Awards Case Title: Batliboi Environmental Engineers Limited vs Hindustan Petroleum Corporation Ltd and Anr. The Supreme Court bench comprising Justice Sanjiv Khanna and Justice M.M. Sundresh, has held that while...

MSEF Council’s Dismissal Order Under Section 18 Is Not An Award For Section 34 Of The A&C Act: Jharkhand High Court

The Jharkhand High Court has held that an order passed by the MSEF Council dismissing a reference made under Section 18 of the MSMED Act as not maintainable, without conducting the conciliation or the consequent arbitral proceedings, is not an award which can be challenged under Section 34 of the A&C Act r/w Section 19 of the MSMED Act. The bench of Justices Shree Chandrashekhar...

Award On Damages Cannot Be Sustained Just On Penalty Clause In Agreement: Delhi High Court

The Delhi High Court has held that an award of damages based on no evidence of loss cannot be sustained on the basis of a penalty clause in the agreement. The bench of Justices Vibhu Bakhru and Amit Mahajan held that mere presence of a clause providing for liquidated damages does not dispense with the requirement of proof of loss from a party claiming damages. The Court held that...

MSEF Council’s Order Without Following Due Procedure Can’t Be Termed As Award: Madras High Court

The High Court of Madras has held that an order passed by the MSEF Council without issuing notice of arbitration, opportunity to parties file their pleadings and recording evidence as per the provisions of A&C Act cannot be termed as award. The bench of Justice S. Sounthar held that since such an order is not an award, it need not be challenged under Section 34 of the A&C Act...