Arbitration
Disclosure Of Impartiality By Arbitrator Appointed Under MSMED Act Not Against Spirit Of Section 24, Provisions Of A&C Act Shall Apply: Calcutta HC
The Calcutta High Court recently ruled that the overriding effect of Section 24 of the Micro, Small and Medium Enterprises Development Act, 2006 (MSMED Act) would not operate as an absolute bar upon an Arbitrator appointed under the special statute to disclose its independence and impartiality in accordance with the Arbitration and Conciliation Act, 1996.Justice Subhasis Dasgupta also held...
Arbitration Can Be Invoked Against Party Deleted From Section 9 Application: Bombay High Court
The Bombay High Court has ruled that once anapplication is filed under Section 9 of the Arbitration and Conciliation Act,1996 (A&C Act), merely because the applicant choses to subsequently delete aparty from the proceedings under Section 9, it cannot be held that the arbitralproceedings can never be invoked against such a party.The bench of Justice Manish Pitale held that a party...
Reference Limited To Quantum Of Compensation; Dispute Non-Arbitrable If Insurer Disputes Liability: Bombay High Court
The Bombay High Court has ruled that where the arbitration clause only provided for reference of dispute relating to quantum of compensation payable under the insurance policy, the plea taken by the insurance company, disputing its liability under the policy, would make the dispute non-arbitrable. The bench of Justice Bharati Dangre reiterated that an arbitration clause has to...
Request For Appointment Of Arbitrator, Is Not A Waiver Of Right To Disqualify Under S. 12 (5) Of The Act: Delhi High Court
The Delhi High Court has ruled that a unilateral request made by one of the parties for setting the appointment procedure in motion, as provided in the arbitration agreement, would not constitute an agreement falling under the proviso to Section 12(5) of the Arbitration and Conciliation Act, 1996 (A&C Act) to waive off the disqualification contemplated under Section 12(5). The...
Supreme Court Annual Digest 2022- Arbitration [ With Parallel Citations]
Arbitration Act, 1940ArbitrationAct, 1940- The powers exercised by the court under the provisions of the 1940 Act arejudicial powers and that the power to make an award "Rule of Court" is not amechanical power. (Para 127 (ii), 113) Secretaryof Govt. of Kerala Irrigation Department v. James Varghese, 2022 LiveLaw (SC) 447 : (2022) 9 SCC 593Arbitration and Conciliation Act1996Arbitration...
Additional Work Without Consent Of The Employer; Arbitrator Can't Award Damages : Gauhati High Court
The Gauhati High Court has held that the arbitrator cannot invoke Section 70 of the Indian Contract Act to award damages on quantum meruit for the additional work carried out without the prior consent of the employer when the agreement did not contemplate any additional work. The bench of Justice Kalyan Rai Surana held that when the agreement, containing the arbitration clause, did...
Arbitration Cases Weekly Round-Up: 18 December To 24 December, 2022
Allahabad High Court: Section 9 Application, Against Cashing Unconditional BG; Court To Consider Only Terms Of BG: Allahabad High Court Case Title: U.P. Expressways Industrial Development Authority versus M/s. Sahakar Global Ltd. The Allahabad High Court has ruled that while dealing with an application under Section 9 of the Arbitration and Conciliation Act, 1996 (A&C...
Execution Of Arbitration Awards;Section 47 Of CPC Not Applicable : Tripura High Court
The High Court of Tripura has held that Section 47 of CPC which provides for certain questions to be determined by the executing Court does not apply to execution of an arbitration award under the A&C Act. The bench of Justice S.G. Chattopadhyay held that the executing court, exercising power under Section 36 of the Act, cannot entertain any objections against the award and a...
Best Of 2022- 40 Important Supreme Court Judgments On ARBITRATION With Parallel Citations
Court while considering application seeking appointment of arbitrator cannot go into question of novation of contract. Meenakshi Solar Power Pvt. Ltd. v. Abhyudaya Green Economic Zones Pvt. Ltd., 2022 LiveLaw (SC) 988Issue of arbitrability should be left to arbitrator unless on the face it is found that dispute is non- arbitrable. VGP Marine Kingdom Pvt. Ltd. v. Kay Ellen Arnold,...
Order Rejecting Application For Impleading Third Party Is Not An Interim Arbitration Award: Delhi High Court
The High Court of Delhi has held that an order of the tribunal rejecting the application for impleading a party to arbitration is not an interim award but merely a procedural order, therefore, the same cannot be challenged under Section 34 of the Act. The bench of Justice Yashwant Varma held that an arbitral tribunal, during the continuance of arbitral proceedings, passes many orders...
Dispute Between Parties Under A "Non-Binding Term Sheet" Can Be Referred To Arbitration: Delhi High Court
The Delhi High Court has ruled that the dispute between the parties under an agreement titled as a "Non-Binding Term Sheet", can be referred to arbitration, holding that the Arbitration Clause contained in the said agreement was binding between the parties. The bench of Justice Navin Chawla observed that though the nomenclature of the agreement was "Non-Binding Term Sheet",...
Moratorium Under Companies Act, 2013, Parties Cannot Be Referred To Arbitration: Delhi High Court
The Delhi High Court has ruled that the moratorium granted by the National Company Law Appellate Tribunal (NCLAT), staying the institution of suits and proceedings against the Corporate Debtor, after the resolution process is initiated against it under Sections 241 and 242 of the Companies Act, 2013, is akin to an order of moratorium passed under Section 14 of the Insolvency and...