ARBITRATION
Very Sorry State of Affairs: Supreme Court On Pendency Of Execution Proceedings In Arbitration Matters For More Than 20 Years In Executing Courts In UP
The Supreme Court on Friday expressed concerns at the pendency of execution proceedings for executing the award in Arbitration Matters before subordinate courts/executing courts in the State of Uttar Pradesh. The Court observed that if the Award, under the Arbitration Act, is not executed at the earliest, it will frustrate the purpose and object of the Arbitration Act as well as the Commercial Courts Act."This is a very sorry state of affairs that even the execution proceedings to execute...
Arbitrators Fixing Their Own Fee Would Amount To Misconduct; PSUs Can't Meet Exorbitant Fee Demand As They Are Answerable To CAG : Attorney General Tells Supreme Court
The Supreme Court on Thursday continued hearing the case in which the issue related to fixation of standards for fees for arbitrators was raised.The bench of Justices DY Chandrachud, Sanjiv Khanna and Surya Kant was considering arbitration petition filed by the Oil and Natural Gas Corporation (ONGC) on the issue related to the mandatory nature of the 'model' fee scale for arbitrators prescribed under the Fourth Schedule of the Arbitration and Conciliation Act 1996. Earlier, the bench had...
![[Arbitration and Conciliation Act, 1996] Arbitral Award Cannot Be Set Aside Merely On The Ground Of Erroneous Application Of Law Or By Misappreciation Of Evidence : Supreme Court](https://assets.livelawbiz.com/h-upload/2022/02/23/500x300_410405-arbitration-and-conciliation-act.jpg "[Arbitration and Conciliation Act, 1996] Arbitral Award Cannot Be Set Aside Merely On The Ground Of Erroneous Application Of Law Or By Misappreciation Of Evidence : Supreme Court")
Application Seeking Appointment Of Arbitrator Cannot Be Moved Before A High Court If No Part Of Cause Of Action Arose Within Its Territorial Jurisdiction: Supreme Court
The Supreme Court observed that an application under Section 11(6) of the Arbitration and Conciliation Act for the appointment of an Arbitrator/Arbitral Tribunal cannot be moved in a High Court irrespective of its territorial jurisdiction."It could never have been the intention of Section 11(6) of the A&C Act that arbitration proceedings should be initiated in any High Court in India, irrespective of whether the Respondent resided or carried on business within the jurisdiction of that High...
Scope Of Discretion To Stay Award U/S 19 MSME Act Wider Than U/S 36(3) Arbitration Act: Calcutta High Court
The Calcutta High Court has recently observed that the discretion conferred upon a Court to stay an award or a decree under Section 19 of the Micro, Small and Medium Enterprises Development Act, 2006 (MSME Act) is broader in scope compared to Section 36(3) of the Arbitration and Conciliation Act, 1996 (Arbitration Act) where the discretion is limited to granting stay of an award subject to appropriate conditions.Justice Moushumi Bhattacharya noted that the rights of an award holder are enhanced...
Mere Use Of Word 'Arbitration' In Agreement Clause Heading Would Not Infer Existence Of Agreement Between Parties To Resolve Disputes Through Arbitration: Delhi HC
The Delhi High Court has observed that the mere use of word 'Arbitration' in the heading in the Clause of Agreement would not lead to the inference that there exists an agreement between such parties seeking resolution of disputes through arbitration.Justice Mukta Gupta referred to a 2014 decision of the Delhi High Court in Avant Garde Clean Room & Engg. Solutions Pvt. Ltd. v. Ind Swift Limited wherein the Court had dealt with the issue as to whether the use of word 'Arbitration' in the...
Can Arbitrators Fix Their Fee Without Parties' Consent? Is 4th Schedule The Standard Fee Scale? Supreme Court Considers
The Supreme Court on Thursday considered issues relating to the fixation of the arbitrators fees, especially in arbitrations involving Public Sector Undertakings.The bench of Justices DY Chandrachud, Sanjiv Khanna and Surya Kant was considering arbitration petition filed by the Oil and Natural Gas Corporation (ONGC) on the issue related to the mandatory nature of the 'model' fee scale for arbitrators prescribed under the Fourth Schedule of the Arbitration and Conciliation Act 1996.During the...
Seeking Relief Under Article 226 In Contractual Matters Where There Is Existing Arbitration Clause Is Not An Appropriate Remedy: Supreme Court
The Supreme Court has observed that invoking Article 226 for seeking relief in a contractual matter where there is an existing arbitration clause is not an appropriate remedy and neither can the High Court examine the same.The bench of Justices SK Kaul and MM Sundresh observed the same while considering a civil appeal assailing Gujarat High Court's order dated September 30, 2021.In the impugned order, the High Court had directed Gujarat Housing Board to refund the amount of Rs Rs.1,66,05,000/-...
Freedom Of Contract And Interest Barring Clauses: Does Section 31(7)(A) Of The Arbitration Act Need A New Approach?
The Hon'ble High Court at New Delhi recently in the case of Patel Engineering Limited vs. UOI & Ors. has issued a notice to the Union of India and NTPC limited in a plea challenging the constitutional validity of Section 31(7)(a) of the Arbitration and Conciliation Act, 1996 (hereinafter referred to as "Act") and section 3(3)(a)(ii) of the Interest Act, 1978. It is because of the fact that most government or Public Sector Unit (PSU's) contracts are wedged with an 'interest barring'...
'Indian Courts Are Known For Their Pro-Arbitration Stance' : CJI NV Ramana At International Conference In Dubai
Speaking at the fourth edition of the International Conference on 'Arbitration in the Era of Globalisation' in Dubai, the Chief Justice of India, N.V. Ramana pointed out the importance of developing an acceptable and fair dispute mechanism system for the globalised world. Chief Justice Ramana briefly alluded to how countries have moved away from protectionism and towards liberalisation and the same had resulted in growth of trade and commerce across the globe. "The world today is...
![[Arbitration And Conciliation Act, 1996] Arbitral Tribunal Cannot Pass Orders To Deposit The Amount In Dispute Under Section 17 When The Liability To Pay The Amount Is Seriously Disputed, But Not Yet Adjudicated : Supreme Court](https://assets.livelawbiz.com/h-upload/2021/05/20/500x300_393742-arbitration-and-conciliation-act.jpg "[Arbitration And Conciliation Act, 1996] Arbitral Tribunal Cannot Pass Orders To Deposit The Amount In Dispute Under Section 17 When The Liability To Pay The Amount Is Seriously Disputed, But Not Yet Adjudicated : Supreme Court")
Arbitrator's Fees : Supreme Court To Hear Issues Relating To 4th Schedule Of Arbitration Act
The Supreme Court has decided to consider the legal questions pertaining to the fee scale for arbitrators under the Fourth Schedule of the Arbitration & Conciliation Act, 1996Different cases relating to the interpretation of the Fourth Schedule are pending before different Benches of the Supreme Court.Last week, while arguing an arbitration petition filed by Oil and Natural Gas Corporation, the Attorney General for India KK Venugopal had raised concerns about "exorbitant and arbitrary"...
Once Parties Acknowledge Existence Of Arbitration Clause, Court Can Appoint Arbitrator Even If Stamp Duty Is Insufficiently Paid: Bombay High Court
The Bombay High Court has recently observed that once the parties have acknowledged that an arbitration clause was embodied in the substantive contract, insufficiency of stamps cannot prevent the court from disposing an application under Section 11 of the Arbitration and Conciliation Act, 1996 for appointment of arbitrators. Single Judge AK Menon said,"Arbitration is seen as a speedy remedy but if applicants and respondents who may have counter-claims, have to await the fate of ...