Arbitration
Power Under Section 9 Of The A&C Act Cannot Be Exercised For Directing Specific Performance Of The Contract: Reiterates Delhi High Court
The Delhi High Court has reiterated that power under Section 9 of the Arbitration and Conciliation Act, 1996 (A&C Act) cannot be exercised for directing specific performance of the contract itself. The Division Bench of Justices Jyoti Singh and Anoop Kumar Mendiratta held that a direction to the opposite party to extend the contract for a further period would amount to...
Arbitral Award Vitiated By Serious Fraud And Criminal Conspiracy Can Be Set Aside In A Writ Petition: Chhattisgarh High Court
The High Court of Chhattisgarh has held that an arbitral award that is vitiated by fraud and criminal conspiracy would be void and non-est and can be set aside in a Writ Petition and the availability of an alternative remedy under Section 34 of the A&C Act is not a bar to the maintainability of the petition. The Division Bench of Chief Justice Anup Kumar Goswami and Justice...
Application For Appointment Of Arbitrator Filed After Many Years : Jharkhand High Court Dismisses The Application
The Jharkhand High Court has ruled that if the application for appointment of Arbitrator under Section 11(6)(c) of the Arbitration and Conciliation Act, 1996 (A&C Act) is itself not maintainable on the ground of inordinate delay in filing it, the issue of limitation cannot be referred to the Arbitrator for adjudication. The Single Bench of Justice Sujit Narayan Prasad held that,...
Undisputed Claims Can't Be Set-Off Against Unliquidated Damages That Are Not Ascertained: Bombay High Court
The Bombay High Court recently has observed that set-off of unliquidated damages that are not ascertained or admitted against an undisputed claim is not tenable. Single judge G.S. KULKARNI reiterated that a Section 9 Court would not be unduly bound by procedural law contained in the Code of Civil Procedure, 1908, the underlying principle being to make arbitration an effective...
Pre-Arbitration Reference To Adjudicator Is Only Directory, Not A Bar To The Appointment Of The Arbitrator: Himachal Pradesh High Court
The High Court of Himachal Pradesh has held that pre-arbitration reference to the adjudicator in terms of arbitration clause is only directory and cannot be held to be a bar to the appointment of an arbitrator by the Court. The Single Bench of Chief Justice Mohammed Rafiq held that the respondent could not object to the maintainability of the petition, merely on the ground that...
Arbitration Cases Weekly Round-Up: June 19 – June 25, 2022
Bombay High Court: Arbitral Proceedings Cannot Be Imposed On A Debenture Trustee Under A Scheme Of Compromise, In The Absence Of An Arbitration Agreement: Bombay High Court Case Title: HMG Industries Ltd. versus Canara Bank Citation: 2022 LiveLaw (Bom) 224 The Bombay High Court has held that even though a Scheme of Compromise entered into under Section 391 of the Companies...
Place Of Residence Of The Arbitrator Would Not Be The Seat Of Arbitration: Telangana High Court
The High Court of Telangana has held that the place of residence of the arbitrator would not determine the seat of arbitration. The Single Bench of Justice P. Sree Sudha held that merely because an arbitrator residing in Hyderabad has been appointed, it would not mean that only the Courts at Hyderabad would have the jurisdiction to decide all the matters arising out of...
Invocation Of Section 9 Of The A&C Act; Need To Wait Termination Of Conciliation Proceedings Under MSME Act: Madhya Pradesh High Court
The Madhya Pradesh High Court has ruled that the provisions of the Arbitration and Conciliation Act, 1996 (A&C Act), including Section 9, would come into operation only after the termination of the conciliation proceedings under Section 18 of the Micro, Small and Medium Enterprises Development Act, 2006 (MSMED Act), in the absence of an arbitration agreement between the...
Parties Cannot Be Said To Be Negotiating When The Respondent Did Not Reply ; Period Of Limitation Cannot Be Extended On That Basis: Telangana High Court
The Telangana High Court has held that the parties cannot be said to be negotiating when the respondent did not reply to the letters of the applicant and the period of limitation for invoking arbitration would not be extended in such a scenario. The Single Bench of Justice K. Lakshman held that the period of limitation would begin to run when the liability to pay is disputed by a...
Having Regard To The Object Of The A&C Act, The Delay Of 435 Days In Filing An Appeal Is Too Long To Exercise Discretion: Telangana High Court
The Telangana High Court has held that having regards to the object of the A&C Act, the delay of 435 days in filing an appeal is too long to exercise discretion. The Division Bench of Justice P. Naveen Rao dismissed an appeal that was filed after a long delay of 435 days on the ground that no sufficient reason is assigned for delay in filing appeal. It held that when the delay...
Arbitral Award Cannot Be Set Aside On The Ground That It Is Based On Insufficient Material : Orissa High Court
The Orissa High Court has reiterated that an arbitral award cannot be set aside on the ground of breach of fundamental principles of justice, if the findings of the Arbitral Tribunal do not shock the conscience of the Court. The Single Bench of Justice K.R. Mohapatra held that even if the material available before the Arbitral Tribunal is not sufficient to come to the conclusion...
A Party Is Not Entitled To Invoke The Arbitration Clause After Signing The Discharge Voucher Without Any Protest Or Demur: Gujarat High Court
The Gujarat High Court has ruled that a party is not entitled to invoke the arbitration clause after it had signed the discharge voucher without any protest or demur, since no arbitrable dispute could be said to subsist. The Single Bench of Chief Justice Aravind Kumar held that an application for referring the dispute to arbitration could not be entertained merely on the ground that...