Order Of Arbitral Tribunal Terminating Proceedings For Non-Payment Of Tribunal Fees Cannot Be Recalled: Telangana High Court

The Telangana High Court held that once the tribunal has passed an order terminating the arbitral proceedings under Section 32(2)(c) r/w Section 38 of the A&C Act for non-payment of tribunal fees, the tribunal cannot recall the order and continue the arbitral proceedings. The bench of Justices P. Naveen Rao and Nagesh Bheempaka held that once the arbitral proceedings are...

Arbitration-Court To Apply Reasonable Third Person Test While Considering Arbitrators’ Requirement For Disclosure, If The Case Doesn’t Fall Under The Lists Under IBA Guidelines: Bombay High Court

The Bombay High Court, while dealing with a petition seeking enforcement of a foreign arbitral award, has observed that the “pro-enforcement bias” in the New York Convention has been specifically adopted in Section 48 of the Arbitration and Conciliation Act, 1996 (A&C Act). The bench of Justice Manish Pitale was considering the guidelines issued by the International...

Agreement Between The Parties “Birth-Giver”; Arbitrator Can’t Grant Pre-Award Interest When Agreement Provided For No Interest: Delhi High Court

The Delhi High Court has reiterated that the agreement between the parties has primacy over the powers of the Arbitral Tribunal to grant pre-award interest under Section 31(7)(a) of the Arbitration and Conciliation Act, 1996 (A&C Act). The bench of Justice Chandra Dhari Singh held that since the Agreement between the parties specifically provided that no interest shall be granted...

Party Is Entitled To Challenge Appointment Of Arbitrator In Violation Of Arbitration Act, At Any Stage: Madras High Court

The Madras High Court has ruled that a party is entitled to challenge the appointment of the Arbitrator at any stage, if there is any violation of the provisions of the Arbitration and Conciliation Act, 1996 (A&C Act). The court remarked that even if the award debtor had participated in the arbitral proceedings or, after having knowledge of the appointment of the sole Arbitrator,...

Delhi High Court Allows Daiichi Sankyo To Withdraw Rs. 20.5 Crores, Imposes A Cost Of 10 Lakh On IHFL For Abuse Of Process Of Court In 4000 Crore Foreign Arbitral Award Case

The Delhi High Court on Monday allowed Daiichi Sankyo to withdraw over Rs. 20.5 crores lying with the Registrar General of the High Court, which was transmitted pursuant to the Supreme Court’s 2022 order in the contempt proceedings initiated against the directors of Indiabulls Housing Finance Limited (IHFL) and Indiabulls Ventures Limited (IVL) for flouting the Supreme Court’s...

Pendency Of Conciliation Proceedings Before Facilitation Council Under MSMED Act Doesn’t Debar The Court From Appointing Arbitrator Under S. 11 Of Arbitration Act: Calcutta High Court

The Calcutta High Court has held that a prior reference to the Facilitation Council under Section 18(1) of the Micro, Small and Medium Enterprises Development Act, 2006 (MSMED Act), which is still at the stage of conciliation, does not debar the Court from passing an order under Section 11 of the Arbitration and Conciliation Act, 1996 (A&C Act) for appointment of arbitrator on the...

Agreement Is Linked With Family Settlement Which Contains Arbitration Clause - Delhi High Court Allows S. 8 Application To Refer Parties to Arbitration

The Delhi High Court has ruled that once there is an arbitration agreement governing the parties, the matter must be referred for arbitration unless there is a “chalk and cheese” case of non-arbitrability. The bench of Justice Jyoti Singh was dealing with an application filed under Section 8 of the Arbitration and Conciliation Act, 1996 (A&C Act) in a suit for...

Arbitration Cases Weekly Round-Up: April 16 To April 22, 2023

Supreme Court: Supreme Court Deprecates Practice Of Filing Applications In Disposed Of SLPs To Side-Step Arbitration Process Case Title: Narsi Creation Pvt Ltd and Anr. vs State of Uttar Pradesh and Ors. The Supreme Court has reiterated that the courts normally ought not interfere with arbitral proceedings, especially till the time an award is not passed. The top...

Whether A Signed Copy Or Certified Copy Of The Award, Purpose Of S. 31(5) of A&C Act Is To Inform The Party: Bombay High Court

The Bombay High Court has ruled that the purpose of Section 31(5) of the Arbitration and Conciliation Act, 1996 (A&C Act), which provides for delivery of the signed copy of the arbitral award, is of imparting knowledge to the party regarding the contents of the award, and to make the party aware that the limitation to raise a challenge has started to run. The court held that the...

Delhi High Court Invokes “Direct Benefits” And “Intertwined” Estoppel Theory To Refer Non-Signatory To Arbitration

The Delhi High Court has invoked the “direct benefits” estoppel theory and the “intertwined estoppel theory” to refer a non-signatory to arbitration. While referring the builder/developer (non-signatory) of a building to arbitration in a dispute between the owner of the flat and the maintenance agency under the ‘maintenance agreement’, the court observed that its...

Arbitration Cases Weekly Round-Up: April 9 To April 15, 2023

Supreme Court:Limited Scrutiny of Court Under Section 11 Of Arbitration Act Through The “Eye Of The Needle”, Is Necessary And Compelling: Supreme CourtCase Title: NTPC Ltd vs M/s SPML Infra LtdThe Supreme Court has ruled that the court while exercising jurisdiction under Section 11(6) of the Arbitration and Conciliation Act, 1996 (A&C Act) is not expected to act mechanically, and that...

Appeal Against Dismissal Of S. 8 Application Filed Before Commencement Of 2015 Arbitration Amendment Act, Not Maintainable: Himachal Pradesh High Court

The Himachal Pradesh High Court has reiterated that the amendment incorporated in Section 37 (1) (a) of the Arbitration and Conciliation Act, 1996 (A&C Act) by the Arbitration and Conciliation (Amendment) Act, 2015, which provides for an appeal against an order of the court refusing to refer the parties to arbitration under Section 8, is prospective in nature. Thus, the same will apply...