PSU Objects To International Arbitration Being Moved From Delhi To London; Supreme Court Questions Change Of Venue For Convenience

The Supreme Court on Wednesday heard a dispute between NMDC Steel Ltd, a Public Sector Undertaking of the Government of India and Italian company Danieli & C. Officine, regarding the shifting of the place of hearing of the international arbitration between them from Delhi to London.The bench comprising Chief Justice of India Surya Kant, Justice Ujjal Bhuyan and Justice NK Singh was hearing a Special Leave Petition filed by NDMC Steel Ltd against the order of the Telangana High Court which...

Indian Courts Have No Jurisdiction To Appoint Arbitrator For Foreign-Seated Arbitration : Supreme Court

The Supreme Court on Friday (November 21) dismissed a plea seeking the appointment of an arbitrator in an international commercial arbitration, holding that once the principal contract is governed by foreign law and provides for a foreign-seated arbitration, Indian courts lose jurisdiction, irrespective of the Indian nationality of any party. “Indian Courts have no jurisdiction to appoint an arbitrator for a foreign-seated arbitration, irrespective of the nationality or domicile of the...

Future Coupons Moves Delhi High Court Against SIAC Award In Favour Of Amazon

Kishore Biyani led Future Coupons Private Limited (FCPL) has moved the Delhi High Court challenging the Singapore International Arbitration Centre (SIAC) award that directed the company and its promoters to pay Rs 23.7 crore in damages, along with arbitration and litigation costs, to Amazon.com NV Investment Holdings LLC.A Single Bench of Justice Jasmeet Singh, after counsel for Future Coupons submitted that the parties are in settlement talks, adjourned the matter to January 19 for further...

Arbitral Award Must Be Within Parameters Of Agreement Between Parties : Supreme Court Dismisses Chinese Company's Appeal

The Supreme Court has recently upheld the setting aside of an arbitral award of nearly ₹995 crore granted in favour of Chinese company SEPCO Electric Power Construction Corporation, holding that the arbitral tribunal had erred by re-interpreting contractual terms and departing from the agreed stipulations in violation of Section 28(3) of the Arbitration and Conciliation Act, 1996.“Numerous precedents laid down by this Court have often emphasised that an arbitrator lacks the power to deviate from...

Foreign Arbitral Awards To Be Enforced Under Indian Law, Interpretation Of 'Public Policy' U/S 48(2)(b) A&C Act Is Limited: Delhi HC

The Delhi High Court observed that to enforce a New York Convention Award, an application u/s 47 of the A&C Act, 1996 has to be filed. Thereafter, the onus shifts on the party opposing the enforcement to make out a ground enlisted in Section 48 of the A&C Act. The bench observed "The settled legal position with respect to foreign awards is that, except strictly in terms of grounds of challenge as set out in Section 48 of the A&C Act, 1996, foreign arbitral awards are to be...

Mere Non-Signing Won't Invalidate Arbitration Agreement If Parties Otherwise Consented To Arbitration : Supreme Court

The Supreme Court observed that merely because an arbitration agreement was not signed, there is no bar to refer the dispute to arbitration, if the parties have otherwise consented to arbitration.The bench comprising Justices Sanjay Kumar and Satish Chandra Sharma set aside the Delhi High Court's decision which declined reference to arbitration merely because Respondent No.1 didn't sign the arbitration agreement. Since the Respondent No.1 consented to the contractual terms via email, the...

Civil Courts Not Prohibited From Granting Anti-Arbitration Injunction In Foreign-Seated Arbitration If Proceedings Are Vexatious: Delhi HC

The Delhi High Court bench of Justice Purushaindra Kumar Kaurav has held that Civil Courts are not prohibited from granting anti arbitration injunction in a foreign seated arbitration if the proceedings are conducted in a vexatious and oppressive manner. The present application has been filed seeking an injunction against the ongoing arbitration before the International Chamber of Commerce (ICC) stating that the proceedings are vexatious, oppressive, unconscionable and against the...

Direction Of Disclosure Or Attachment Of Assets Cannot Be Passed Against A Person Who Is Not A Party To The Arbitral Award: Bombay HC

The Bombay High Court has held that a foreign arbitral award cannot be enforced against a person who was not a party to the arbitration proceedings. It ruled that forcing such a person to disclose assets or face coercive enforcement would be without jurisdiction under Part II of the Arbitration and Conciliation Act, 1996.Justice Somasekhar Sundaresan passed the ruling while allowing two interim applications filed by Amstrad Consumer India Pvt. Ltd. (Respondent No. 1) and its shareholder...

Sole Arbitrator's Appointment By One Party Due To Other Party's Inaction After Notice Is Not Unilateral: Telangana High Court

The Telangana High Court bench of Justice Moushumi Bhattacharya has held that an arbitrator appointed by one party in accordance with the agreed terms, after giving due notice, cannot be challenged as a unilateral appointment if the other party was given a full and fair opportunity to nominate its arbitrator but chose not to act. In such a situation, enforcement of a foreign award cannot be refused under Section 48 of the Arbitration and Conciliation Act, 1996. Brief Facts: The...

Arbitrator's Decision To Choose Internationally Recognised Formula Based On Expertise For Computing Damages Can't Be Faulted: Delhi High Court

The Delhi High Court bench of Justice Manoj Kumar Ohri has held that different formulae may be applied depending on the circumstances, and the choice of method for computing damages falls within the arbitrator's discretion. Sections 55 and 73 of the Indian Contract Act, 1872 (Contract Act) do not prescribe any specific formula for the calculation of damages. Therefore, the arbitrator's decision to apply any internationally recognized method, based on their expertise, cannot be faulted. ...

Schedule IV Of Arbitration Act On Fees Of Arbitrator Does Not Mandatorily Apply To International Commercial Arbitrations: Delhi High Court

The Delhi High Court bench of Justice Sachin Datta has observed that in an international commercial arbitration in terms of Section 2(1)(f)(ii) of the Arbitration and Conciliation Act, 1996, the IVth Schedule pertaining to fees of the arbitrator will not apply mandatorily in view of Explanation to Section 11(14) of the Act. Facts The disputes between the parties arose out of the Contract Agreement dated 12.04.2006 for 'four laning of Jhansi-Lakhanadon section KM 297 to KM 351 of ...

International Commercial Arbitration | How To Determine Law Governing Arbitration Agreement? Supreme Court Discusses Tests

In a significant judgment relating to International Commercial Arbitration, the Supreme Court today (March 18) ruled that in the absence of an express law governing the arbitration agreement, the applicable law should be determined based on the parties' intentions, with a strong presumption in favor of the law governing the main contract (lex contractus). The bench comprising Chief Justice Sanjiv Khanna, Justice Sanjay Kumar, and Justice KV Viswanathan heard the case where the plea was made for...