Arbitral Tribunal Erred In Fixing Fees Separately For Claims And Counter-Claims, Contrary To The Agreement Between Parties: Delhi High Court

The Delhi High Court has ruled that the Apex Court’s decision in Oil and Natural Gas (ONGC) vs Afcons Gunanusa JV (2022), where it had interpreted the Fourth Schedule of the Arbitration and Conciliation Act, 1996 (A&C Act), clearly requires party autonomy to be given paramount importance. The bench of Justice Prateek Jalan remarked that though in ONGC (2022), it was held that...

Arbitration Cases Weekly Round-Up: March 12 To March 18, 2023

Bombay High Court: Arbitrator’s Direction For Disclosure Of Not Relevant Information Is An Order Under S. 19 And Not 17 Of Arbitration Act: Bombay High Court Case Title: Sara Chemicals and Consultants vs. Deepak Nitrite Ltd The Bombay High Court has ruled that no appeal is maintainable under Section 37 of the Arbitration and Conciliation Act, 1996 (A&C Act) against the...

Section 9 Of The Arbitration Act Does Not Envisage The Restoration Of Terminated Contract: Delhi High Court

The High Court of Delhi has held that the scope of Section 9 of the A&C Act does not envisages relief in the nature that would restore a contract which already stands terminated. The bench of Justice Chandra Dhari Singh held that the Court while exercising powers under Section 9 of the A&C Act cannot direct specific performance of a determinable contract. It held that a...

'Governments Can’t Shirk From Liability To Abide By Judgments, Decrees & Awards': Delhi High Court Lifts Corporate Veil In DAMEPL-DMRC Dispute

The Delhi High Court on Friday observed that the Union of India and Delhi Government are in complete control of affairs of Delhi Metro Rail Corporation (DMRC) and must be commanded to take appropriate steps to enable the corporation to meet the obligation of making payment of dues to Reliance Infra-owned Delhi Airport Metro Express Private Limited (DAMEPL) under a 2017 arbitral award.Lifting...

Antrix Devas Deal: Delhi High Court Upholds Single Judge's Decision Of Setting Aside 2015 Arbitral Award, Says Fraud 'Serious And Complex'

The Delhi High Court on Friday dismissed an appeal against single judge’s order setting aside a 2015 arbitral award by which Antrix Corporation Limited, commercial and marketing arm of ISRO, was required to pay US$ 562.2 million to Devas Multimedia Private Limited over wrongful repudiation of a contract.A division bench of Chief Justice Satish and Justice Subramonium Prasad in its judgment...

2017 Airport Metro Arbitral Award: Delhi High Court Issues Directions To Centre, Delhi Govt For Payment Of Unpaid Dues To Reliance Infra By DMRC

The Delhi High Court on Friday directed the Union of India and Delhi government to forthwith attend to Delhi Metro Rail Corporation (DMRC)'s request for extension of sovereign guarantee or subordinate debt to enable it make payment of dues to Reliance Infra-owned Delhi Airport Metro Express Private Limited (DAMEPL) under the 2017 arbitral award.Justice Yashwant Varma said the decision shall...

Arbitral Tribunal’s Order Rejecting Party’s Request To File Counter Claims On Ground Of Delay, Doesn’t Foreclose Its Right To Invoke Arbitration: Delhi High Court

The Delhi High Court has ruled that the Arbitral Tribunal’s order rejecting a party’s request to file counter claims on the ground of delay, does not foreclose its right to invoke arbitration seeking independent reference of its claims. The bench of Justice Prateek Jalan remarked that, when arbitration proceedings are invoked at the instance of one party, it is generally open to...

Participation In A Civil Suit Filed By Partner, Doesn’t Operate As Waiver Of Right To Invoke Arbitration: Delhi High Court

The Delhi High Court has ruled that, merely because the defendant participated in a civil suit filed by the plaintiff, he cannot be said to have waived his right to invoke arbitration with respect to all future litigation between the parties under the Agreement. The bench of Justice Neena Bansal Krishna held that participation of a party in a civil suit instituted by a partner, would...

Calcutta High Court Criticizes The Approach Of Finance And Banking Companies Unilaterally Appointing The Arbitrator; Refuses To Enforce ‘Unilateral Appointment Award’

The High Court of Calcutta has deprecated the practice of banking and financial institutions unilaterally appointing the arbitrator. It refused to enforce an award passed by an arbitrator that was unilaterally appointed by the petitioner. The bench of Justice Shekhar B. Saraf has held that an arbitration award passed by a unilaterally appointed arbitration is non-est and...

Though Borrower Can File Civil Suit Despite The Remedy Of Counter Claim In DRT, In Light Of Section 8 Of The A&C Act, Bombay High Court Refers The Parties To Arbitration

The Bombay High Court has reiterated that the Recovery of Debts and Bankruptcy Act, 1993 (RDB Act) bars the jurisdiction of the Civil Court only in respect of the applications filed by banks/ financial institutions for recovery of debt, however, it does not bar the jurisdiction of the Civil Court to try a suit filed by the borrower. The bench of Justice Bharati Dangre remarked...

Arbitrator Can Declare Terms Of Contract Null, Even If No Declaration Is Sought By The Party In Its Pleadings: Delhi High Court

The Delhi High Court, while dealing with a petition filed under Section 34 of the Arbitration and Conciliation Act, 1996 (A&C Act), has rejected the contentions raised by the petitioner that the Award of the Majority Tribunal declaring the Clause providing for compound interest as null, was perverse since there were no pleadings made by the opposite party in its Statement of...

An Arbitration Award In Violation Of The Provisions Of The Indian Contracts Act Is Patently Illegal: Delhi High Court

The High Court of Delhi has held that an arbitration award that is passed in violation of the provisions of the Indian Contracts Act, 1872 would be liable to be set aside as suffering from patent illegality. The bench of Neena Bansal Krishna partially set aside an arbitration award that was passed in contravention of Sections 59-61 of the Indian Contracts Act, 1872. The Court...