Arbitration
MSME Facilitation Council Can't Arbitrate Matters Pertaining To Individual Service Providers Outside The Scope Of MSME Act: Delhi High Court
The Delhi High Court single bench of Justice Prateek Jalan held that the MSME Facilitation Council does not have the jurisdiction to arbitrate matters pertaining to individual service providers who do not fall under the definition of 'supplier' under the MSME Act. The same would be violative of Section 34 of the Arbitration and Conciliation Act, 1996. Brief Facts:The matter pertained to...
Even If Arbitral Award Set Aside For Non-Compliance With Section 12, Parties Can File Fresh Section 11 Application For Arbitrator Appointment: Delhi High Court
The Delhi High Court single bench of Justice Dinesh Kumar Sharma held that mere invalidation or unenforceability of the arbitrator appointment process does not render the entire arbitration clause void. The bench held that even if an arbitration award is set aside due to unilateral appointment and non-compliance with Section 12 of the Arbitration Act, fundamental agreement between the parties...
S.29A Arbitration Act | Who Has Power To Hear Time Extension Application When Arbitrator Appointed By SC/HC/Parties? Allahabad HC Refers Question To Larger Bench
The Allahabad High Court has referred the question whether application under Section 29A of the Arbitration and Conciliation Act, 1996 for time extension can only be heard by the Supreme Court or the High Court where the appointment of such arbitrator has been made by the Supreme Court or the High Court, as the case may be.Further, the Court has raised a query regarding the powers of the...
Application Under Section 29(A) A&C Act Doesn't Constitute Express Waiver In Writing U/s 12(5) To Challenge Arbitrator's Ineligibility: Delhi High Court
The Delhi High Court single bench of Justice Manoj Kumar Ohri held that filing of the Section 29(A) application by a party did not amount to a waiver of its right to challenge the arbitrator's ineligibility under Section 12(5) of the Arbitration and Conciliation Act, 1996. The bench held that filing an application under Section 29A of the Arbitration Act for an extension of the mandate...
Party Providing Wrong Address During Proceedings Cannot Argue Incorrect Arbitration Notice U/s 21 A&C: Delhi High Court
The Delhi High Court single bench of Justice Rekha Palli held that when a party provides its incorrect address in proceedings cannot be permitted to urge that the invocation notice of arbitration under Section 21 of the Arbitration and Conciliation Act, 1996 was not served at the correct address. Brief Facts: The Petitioner approached the Delhi High Court (“High Court”)...
Court Cannot Determine Admissibility, Relevancy, Materiality, And Weight Of Any Evidence Under Section 27 of A&C: Delhi High Court
The Delhi High Court single bench of Justice Sachin Datta held that the court under Section 27 of the Arbitration and Conciliation Act, 1996 cannot determine the admissibility, relevancy, materiality, and weight of any evidence, as doing so would amount to impermissible interference with the Tribunal's proceedings. Brief Facts: Steel Authority Of India Ltd. (“Petitioner”)...
Civil Court And Commercial Division Of High Court Has Concurrent Jurisdiction To Entertain Section 9 Petition If Dispute Amount Is B/w Rs. 10 Lakh & Rs. 1 Crore: Calcutta High Court
The Calcutta High Court single bench of Justice Moushumi Bhattacharya held that both Principal Civil Court and Commercial Division of the High Court has the jurisdiction to entertain Section 9 petition if the claim amount is between Rs. 10 lakhs to Rs. 1 crore. It rejected the contention that the City Civil Court doesn't have jurisdiction to receive or try the first application under...
Court of Arbitration For Sport Upholds International Olympic Committee's Decision To Suspend Russian Olympic Committee
The Court of Arbitration for Sport (CAS) has dismissed Russia's bid to reverse the International Olympic Committee's (IOC) decision to suspend its official status. The IOC took this action after Russia attempted to absorb Ukrainian sports organizations following the 2022 invasion of Ukraine. Established in 1984, the CAS is a global organization dedicated to resolving sports-related...
GCC Clause For Appointment OF Three Gazetted Railway Officers Panel For Arbitration Violates Section 12(5) A&C: Calcutta High Court
The Calcutta High Court single bench of Justice Moushumi Bhattacharya held that the clause in General Conditions of Contract stipulating appointment of a panel of three gazetted railway officers for arbitration violated Section 12(5) of the Arbitration and Conciliation Act, 1996, read with the Fifth and Seventh Schedules of the Act. Brief Facts: ...
Arbitration Weekly Round Up: 19th February To 25th February 2024
Supreme Court Whether Courts Can Modify Arbitral Award U/S 34 or 37 of Arbitration Act? Supreme Court Refers To Larger Bench The Supreme Court has referred to the larger bench the question of whether the courts have the power to modify the arbitral award under Sections 34 or 37 of the Arbitration and Conciliation Act, 1996. “Whether or not the Courts in exercise of power...
Arbitral Award With Internal Contradictions Is Perverse And Patently Illegal; Delhi High Court allows Section 34 Petition
The Delhi High Court single bench comprising Justice Sachin Datta held that an award suffering from internal contradictions is considered perverse and patently illegal under Section 34 of the Arbitration and Conciliation Act, 1996. Brief Facts: Samtel Colors Limited (“Respondent”) obtained an Inter-Corporate Deposit (ICD) facility of Rs. 1,70,00,00,000/- from...
Arbitral Award Lacking Adequate Reasoning Is Inherently Flawed With Patent Illegality: Delhi High Court Allows Section 34 Petition
The Delhi High Court single bench of Justice Mohan Kumar Ohri held that an arbitral award lacking adequate reasoning suffers from the inherent flaw of patent illegality. It emphasized that a reasoned order should be proper, intelligible, and adequate, and failure to adhere to these standards can lead to challenges under Section 34 of the Arbitration and Conciliation Act,...