Arbitration
Claim Petition Without Verification, Writ Not Maintainable Against An Order Dismissal Of Claim : Gujarat High Court
The High Court of Gujarat has held that a writ petition would not be maintainable against an order of the arbitral tribunal whereby it has rejected the claim of a party on the ground that its pleadings were without verification and affidavit to that effect. The Single Bench of Justice Vaibhavi D. Nanavati held that once the arbitrator rejects the claims of a party that essentially...
Proceedings Under Section 9 Of A&C Act Cannot Be Used For Enforcement Of The Conditions Of A Contract: Gujarat High Court
The Gujarat High Court has ruled that issues involving enforcement of the conditions of a Franchise Agreement cannot be the subject matter of an application for interim measures under Section 9 of the Arbitration and Conciliation Act, 1996 (A&C Act). The Bench, consisting of Justices N.V. Anjaria and Samir J. Dave, held that conditions of a contract can be enforced only when...
If 'Value of Commercial Dispute' Is More Than Rs. One Crore, Section 9 Application Under A&C Act Would Lie Only Before The Commercial Court: Telangana High Court
The Telangana High Court has ruled that if a dispute constitutes a 'commercial dispute' under Section 2 (1) (c) (vii) of the Commercial Courts Act, 2015, and the dispute is the subject matter of a domestic arbitration whose 'Specified Value' is more than Rs. One Crore, then an application under Section 9 of the Arbitration and Conciliation Act, 1996 (A&C Act) would lie only before...
No Claim Certificate By Employee To Employer Under Compulsion Or Not, Issue Is Arbitrable: Telangana High Court
The Telangana High Court has ruled that the issue whether a no claim certificate furnished by a party to its employer was under compulsion or duress, or whether the said no claim certificate is valid, which would discharge the contract and debar the party from raising further claims, is an arbitrable dispute. The Single Bench of Justice Ujjal Bhuyan held that in view of the decision...
Court Can Pass An Order Of Interim Measures Under Section 9 Of The A&C Act Against A Third Party: Reiterates Bombay High Court
The Bombay High Court has reiterated that the Court is free to pass an order under Section 9 of the Arbitration and Conciliation Act, 1996 (A&C Act) to grant interim measures of protection against a third party who is impleaded in the petition filed under Section 9. The Single Bench of Justice G.S. Kulkarni held that the minority members of a Society cannot act against the will...
Even In The Absence Of An Arbitration Agreement, The Matter Can Be Referred To Arbitration Under Section 18 Of The MSMED Act: Punjab And Haryana High Court
The Punjab and Haryana High Court has ruled that even in the absence of an arbitration agreement between the parties, the matter can be referred to arbitration under Section 18 of the Micro, Small and Medium Enterprises Development Act, 2006 (MSMED Act). The Single Bench of Justice Lisa Gill reiterated that the MSMED Act being a Special Act shall prevail over the Arbitration...
Arbitration Cases Weekly Round-Up: June 5 To June 11, 2022
Bombay High Court: A Reference To Arbitration Can Be Declined By The Court If The Dispute Is A Deadwood: Bombay High Court Case Title: D.K. Infrastructure Pvt. Ltd. versus Kishore Agarwal and Anr. The Bombay High Court has held that once the Court is satisfied regarding the existence of an arbitration agreement between the parties, the Court can decline to make a...
A Party Cannot Circumvent The Dispute Resolution Process After Agreeing On The Same: Gujarat High Court
The Gujarat High Court has held that a party cannot circumvent the dispute resolution process after agreeing on the same. The Court held that party is bound to follow the mechanism provided under the arbitration clause that requires it to first raise the dispute before the DRC and pre-deposit the amount in dispute if no challenge is made to the validity of terms of...
Landlord-Tenant Disputes Governed By Transfer Of Property Act Are Arbitrable In Nature: Reiterates Karnataka High Court
The Karnataka High Court has reiterated that the landlord-tenant disputes governed by the Transfer of Property Act, 1882 are arbitrable in nature. The Single Bench of Justice E.S. Indiresh observed that the Supreme Court in the case of Vidya Drolia versus Durga Trading Corporation (2020) had overruled its decision in Himangi Enterprises versus Amaljit Singh Ahulvalia (2017)....
A Reference To Arbitration Can Be Declined By The Court If The Dispute Is A Deadwood: Bombay High Court
The Bombay High Court has held that once the Court is satisfied regarding the existence of an arbitration agreement between the parties, the Court can decline to make a reference to arbitration only if it is satisfied that the dispute is non-existent or that it has become a deadwood. The Single Bench of Justice N.J. Jamadar reiterated that the scope of enquiry under Section 11(6) of...
Petition Under S. 11(6) Of The A&C Act Would Be Premature When The Precondition Of Conciliation Is Not Fulfilled: Karnataka High Court
The High Court of Karnataka held that the petition under Section 11(6) of the A&C Act would be premature when the parties have not complied with the precondition of conciliation. The Bench of Chief Justice Ritu Raj Awasthi dismissed the arbitration petition for the appointment of an arbitrator on the ground that the petitioner had directly approached the Court without taking...
Party Can Raise Additional Grounds Based On The Award Passed After The Case Is Remitted To Tribunal Under Section 34(4) Of A&C Act: Delhi High Court
The Delhi High Court has ruled that an order passed by the Arbitral Tribunal, after the matter is remanded back to it by the Court under Section 34(4) of the Arbitration and Conciliation Act, 1996 (A&C Act), is not a fresh arbitral award that can be challenged by filing a separate petition under Section 34(1). The Court observed that during the pendency of the proceedings...