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Constitution upholds arbitration neutrality

Constitution upholds arbitration neutrality, party autonomy

The Supreme Court recently held, in Lombardi Engineering Limited v Uttarakhand Jal Vidyut Nigam Limited, that any arbitration clause inconsistent with the constitution is invalid. The court also held that it can determine if...
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Literal or liberal interpretation in extending arbitration

By Sudeshna Guha Roy and Ayush Chaturvedi, Bharucha and Partners
In 2015, section 29A was added to the Arbitration and Conciliation Act, 1996 (act), to provide that the arbitral tribunal must make an award within 12 months of the close of pleadings. This period...
swarming-IBLJ

Stirring up a hornet’s nest

The Supreme Court of India has set up a seven-judge bench to reconsider a ruling on unstamped or insufficiently stamped agreements. Indrajit Basu looks at the controversy surrounding the original judgment Editor's note In December 2023,...
Arbitrators' decision-making standards

Arbitrator autonomy still demands proper decision-making

The Supreme Court held, in Batliboi Environmental Engineers Limited v Hindustan Petroleum Corporation Limited and Anr, that the arbitrator has the right to interpret terms of a contract in a reasonable manner, and such interpretation...
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Arbitrator still in place despite unilaterally adjusting fees

By Sneha Jaisingh and Zashank Mehta, Bharucha & Partners
Chennai Metro Rail Limited (CMR) awarded a public tender to M/s Transtonnelstroy Afcons (JV) (Afcons). Afcons invoked arbitration when disputes arose and a three-member tribunal was constituted. The parties agreed that each arbitrator would...

Supreme Court’s stand on unstamped arbitration agreements

By Ila Kapoor and Surabhi Lal, Shardul Amarchand Mangaldas & Co
Against the background of a roller-coaster ride of conflicting rulings, the Supreme Court in its recent judgment in In Re: Interplay Between Arbitration Agreements Under The Arbitration And Conciliation Act 1996 and the Indian Stamp Act...
India Business Law Journal

The almighty stamp

Court judgment leaves disputes community unhappy Earlier this year, the Supreme Court of India delivered a controversial ruling, which stirred heated debates and concern among disputes lawyers across India. The judgment, rendered by a five-judge Constitutional...
Unstamped non-disclosure agreement

Resolving an unstamped non-disclosure agreement

In a recent judgment, the Bombay High Court dealt with the issue of stamp duty on non-disclosure agreements containing an arbitration clause. The court made its order under the provisions of section 11 of...
Judicial intervention arbitration

Arbitration: reins tighten on judicial intervention

A fundamental principle of India’s arbitration law is to have limited judicial intervention in the process. It is a principle that balances the sanctity of arbitration agreements against access to justice when necessary. The...
Dissenting arbitrator's opinion

Dissent is not award

The Supreme Court, in Hindustan Construction Company Limited v National Highways Authority of India, held that the dissenting opinion of an arbitrator cannot be treated as an award if the majority award is set...
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Limitation clock still runs despite settlement talks

By Sneha Jaisingh and Abraham Fernandes, Bharucha & Partners
In 2012, the Ministry of Defence (MoD) and B and T AG (BTAG) entered into a contract for BTAG to supply sub-machine guns to the MoD. As BTAG delayed supplying the goods, the MoD...
Evolving jurisprudence of arbitrability of fraud

Evolving jurisprudence of arbitrability of fraud

By Faranaaz Karbhari, Mahafrin Mehta and Sharan Shetty, HSA Advocates
Operating on the tenets of party autonomy, the arbitration clause has become a boilerplate in most commercial contracts. The Arbitration and Conciliation Act, 1996, does not specifically exclude any category of disputes as being...
courts on international arbitration

Courts give teeth to international arbitration

By Deepesh, Kochhar & Co.
The Indian Arbitration and Conciliation Act, 1996, was amended in 2015 by legislation (amendment act), which altered the entire landscape of the arbitration regime. This followed the 2014 Law Commission report number 246, which...
No stamp no arbitration

No stamp, no arbitration

Supreme Court judgment on 25 April 2023 (NN Global Mercantile Pvt Ltd v Indo Unique Flame Ltd) finally settled the ongoing legal conundrum of the enforceability of an arbitration agreement in an unstamped contract. In...
arbitration suits court

When arbitration suits the court

An April 2023 decision by a division bench of the Supreme Court of India has held that arbitration is the appropriate method of deciding whether a development agreement can be lawfully cancelled. It also...
High Court Refuses Arbitration Application in Shiram EPC Ltd

No arbitration for time-barred issues

The Bombay High Court, in Shriram EPC Ltd and Anor v Gaja Trustee Co Pvt Ltd, held that it would not be right for the court to foist unwarranted arbitration on the parties when clearly...
No disqualification when arbitrator assists

No disqualification when arbitrator assists on unrelated matter

In Quess Corporation v Netcore Cloud Pvt Ltd, the Bombay High Court held that if an arbitrator has accepted a brief from a law firm or advocate representing a party in an arbitration, that...
India companies facing English litigation

Indian companies facing litigation in England

By Gautam Khurana, India Law Offices and Jeremy Lederman, Harold Benjamin
As India received its legal structure from England, it is not surprising that many India companies in international disputes choose the jurisdiction of England and English law as the governing law. Language and legacy...
bombay high court upholds optionvideo

Bombay High Court upholds pre-2013 put options

By Sneha Jaisingh and Anshul Singh, Bharucha & Partners
Option clauses are often included in shareholders’ agreements to protect investors and provide exit opportunities. While put options give shareholders the right to sell securities, call options give them the right to buy securities. The...
law holds agreements companies interests

Law holds companies to agreements including interest

By Pragya Ohri and Kanika Kumar, HSA Advocates
A claim for interest allows a party to recover a loss suffered by being deprived of the use of money, which is legitimately due. In India, the award of interest is primarily governed by...

Constitution bench decision will impact progress of arbitration

After delivering a pro-arbitration judgment in the case of NN Global Mercantile Pvt Ltd v M/s Indo Unique Flame Ltd and Ors, the Supreme Court referred the case to a constitution bench of the...
cotton contracts dispute decision

Separate cotton contracts do not unravel dispute decision

The Bombay High Court recently heard a petition under section 34 of the Arbitration and Conciliation Act, 1996. The question before the court was whether an arbitrator had the power to consolidate disputes arising...
Mediation as an alternate dispute resolution

Mediation by necessity

With a disputes system in crisis in the country, mediation is the way forward, write Max Life Insurance legal experts Amit Wadhwa and Richa Relhan. The development of a society comes with the unintended byproduct...
ONDC e-commorce democratisation

Dipping a cautious toe in the e-commerce swamp

By Manisha Singh and Simrat Kaur, LexOrbis
The Open Network for Digital Commerce (ONDC) aims to democratise e-commerce and improve sellers’ visibility and portability of trust. A non-profit company, ONDC plans to help the vast number of kirana or small, neighbourhood,...
interference under arbitration act

When is interference possible under Arbitration Act?

The Supreme Court, in M/s Meenakshi Solar Power Pvt Ltd v M/s Abhyudaya Green Economic Zones Pvt Ltd and Ors, set aside the impugned judgment passed by the High Court of Telangana, which had...
council overrides MSMED act

Council overrides arbitration agreement under MSMED Act

The Supreme Court recently observed in the judgment of Gujarat State Civil Supplies Corporation v Mahakali Foods Pvt Ltd (delivered on 31 October 2022) that despite the existence of an independent arbitration agreement, any...
DC Singhania passed away

DC Singhania: India loses a maker of legal history

Mr Duli Chand Singhania, founder of Singhania & Co, passed away on 29 November. Earlier that month, he had celebrated his 90th birthday with family and friends. A prayer meeting, which took place at Chinmaya Mission...
India Supreme Court directive on ad hoc arbitrator fee

Supreme Court directive on ad hoc arbitrator fee

An arbitration between the Oil and Natural Gas Corporation (ONGC) and Afcons Gunanusa commenced in 2015, but a disagreement arose over the fee to arbitrators and who should decide the issue. According to the parties’...
‘Final and binding’ not needed to validate arbitration clause

‘Final and binding’ not needed to validate arbitration clause

The Supreme Court recently held that an arbitration clause has to be given effect, whether or not expressly stated that an arbitrator’s decision is final and binding. In Babanrao Rajarum Pund v M/S Samarth Builders...
India future of group of companies doctrine

Guidance awaited on future of group of companies doctrine

By Ashish Anand, HSA Advocates
Arbitration is a creature of contract statutorily backed by the Arbitration and Conciliation Act, 1996 (act), which is intended to provide quick and efficacious alternate dispute remedies. In our experience, challenging areas in arbitration...
References not enough to compel arbitration

References not enough to compel arbitration

The Supreme Court recently reiterated the principles laid down in Jagdish Chander v Ramesh Chander (2007), that an arbitration agreement should disclose a determination and obligation on behalf of parties to refer disputes to...
Top-court-steps-in-to-settle-jurisdiction-disputes-L

Top court steps in to settle jurisdiction disputes

The tug of war over jurisdiction has surfaced many times in arbitration proceedings, necessitating the Supreme Court to step in repeatedly to settle disputes. In General Manager East Coast Railway Rail Sadan and Anr...
When in doubt, arbitrate

When in doubt, arbitrate

Citing an earlier Supreme Court decision, Delhi High Court has ruled that courts must lean towards referring matters to arbitration when one party seeks to negate an arbitration agreement by citing other provisions of a...
India new electricity bill

New electricity bill likely to spark controversy

By Abhishek Tripathi and Shivika Agarwal, Sarthak Advocates & Solicitors
The government has introduced the Electricity (Amendment) Bill, 2022 (new bill) to amend the Electricity Act, 2003 (act). A similar attempt in 2020 (2020 bill) was shelved following the farmers’ protests. The new bill...
top foreign firms india

Bouncing back

As business and travel edge back to normal after the pandemic, which foreign law firms are leading the field with their India offerings? Vandana Chatlani finds out See earlier editions of this report F ollowing a swift...
Power ministry creates alternative alternative dispute resolution

Power ministry’s ADR alternative needs a rethink

By Mani Gupta and Saumya Upadhyay, Sarthak Advocates & Solicitors
With the admirable objective of achieving the early and amicable resolution of disputes, the Ministry of Power (MoP) has set up Conciliation Committees of Independent Experts (CCIE) in its office memorandum of 29 December...
Court not obliged to remit matters to arbitral tribunals

Court not obliged to remit matters to arbitral tribunals

In a Supreme Court judgment it was held that section 34(4) of the Arbitration and Conciliation Act, 1996 can be used to record reasons for findings already produced in an award, or to fill...
Arbitral awards bound by contract

Arbitral awards bound by contract

The Indian Supreme Court has set aside an arbitral tribunal’s award for acting beyond the confines of a contract executed between parties. The court held that the power of courts and arbitral tribunals was...

Indian Law Firm Awards 2022

Discover our other annual awards Award In a celebration of hard work, ingenuity and excellence, India Business Law Journal reveals the winners of the 2022 Indian Law Firm Awards. Vandana Chatlani reports In the past 12...
IndusLaw-gets-disputes-expert-L

IndusLaw gets disputes expert

Soura Subha Ghosh has joined IndusLaw at the firm’s Mumbai office in its dispute resolution practice. With more than 15 years of experience, his practice includes commercial civil litigation, dispute resolution, arbitration, mediation and...

Dispute resolution in India for Japanese companies

By Nishant Menon and Kavita Sarin, Kochhar & Co
The legal system in India is a combination of legislations and judicial precedents. The central government and state governments both legislate on subjects as prescribed in the constitution while judicial precedents are laid down...
Post-award interest okayed in arbitration awards

Post-award interest okayed in arbitration awards

In a recent ruling, the Supreme Court reaffirmed that post-award interest can be granted by an arbitrator even on the interest component in the award. In arbitration between UHL Power Company Limited (UHL) and the...
Limited challenge to foreign arbitral award enforcement Karthik Somasundram

Limited challenge to foreign arbitral award enforcement

By Karthik Somasundram and Bhavi Vora, Bharucha & Partners
In Gemini Bay Transcription Pvt Ltd v Integrated Sales Service Ltd & Anr, the Supreme Court considered whether a person who was not a signatory to an arbitration agreement could challenge a foreign arbitral award....
Does draft mediation bill deliver?

Does draft mediation bill deliver?

In 2019, India was one of the first signatories to the UN Convention on International Settlement Agreements Resulting from Mediation, also known as the Singapore Convention. Further to its obligations under the convention and...
Supreme Court clarifies award modifications

Supreme Court clarifies award modifications

The Supreme Court has held that an arbitrator allowing an application to modify an original award in the exercise of powers under section 33 of the Arbitration and Conciliation Act, 1996, was not sustainable...
Shreya Sircar Bharucha & Partners

Lack of avenue to opt out makes government contracts inequitable

By Shreya Sircar and Jyotsna Punshi, Bharucha & Partners
Public sector enterprises, and other government entities (government) regularly execute commercial contracts with private entities or private contracting parties. These contracts often follow bids submitted in response to government tenders, and usually contain standard...
Employment-burden-of-proof-after-dismissal-‘on-the-employee-L8

Employment burden of proof after dismissal ‘on the employee’

The Supreme Court, in the 24 September judgment of National Gandhi Museum v Sudhir Sharma, observed that whether an employee after dismissal was gainfully employed was within his special knowledge and, therefore, considering the...
Shaneen Parikh,Shalaka Patil, Cyril Amarchand Mangaldas

Party autonomy now rules in arbitration law

By Shaneen Parikh and Shalaka Patil, Cyril Amarchand Mangaldas
Recent decisions of the Supreme Court have added to what is recognised as a pro-arbitration regime. One was PASL Wind Solutions Private Limited v GE Power Conversion India Private Limited, where the court ruled...
Manisha Singh and Shreyashi Mazumdar, LexOrbis

Smoke clears over arbitration in trademark disputes

By Manisha Singh and Shreyashi Mazumdar, LexOrbis
In the recent case of M/S Golden Tobie Private Limited v M/S. Golden Tobacco Limited, the Delhi High Court decided the question of whether trademark-related disputes can be the subject of arbitration. The court...
Karthik Somasundram Bharucha Partners Ignoring evidence renders an arbitral award perverse

Ignoring evidence renders an arbitral award perverse

By Karthik Somasundram, Bharucha & Partners
In the case of PSA Sical Terminals Pvt Ltd v Board of Trustees of VO Chidambranar Port Trust Tuticorin & Ors, the Supreme Court considered whether a finding made by an arbitrator unsupported by evidence...
Court-upholds-emergency-award-in-Amazon-dispute

Court upholds emergency award in Amazon dispute

The Supreme Court, in the recent case of Amazon.com NV Investment Holdings LLC v Future Retail Ltd & Ors, answered two important questions. First, it held that an award by an emergency arbitrator appointed under...
Electricity regulator continues to reign supreme for now, Abhishek Tripathi and Vedant Kumar, Sarthak Advocates & Solicitors

Electricity regulator continues to reign supreme for now

By Abhishek Tripathi and Vedant Kumar, Sarthak Advocates & Solicitors
The conflict between electricity regulatory commissions and arbitrators in electricity sector disputes is a long-standing and vexed issue. In the recent case of Chief General Manager (IPC) MP Power Trading Co Ltd & Anr...
Court addresses limitation provisions under MSMED Act

Court addresses limitation provisions under MSMED Act

The Supreme Court recently passed a common judgment in two civil appeals – Silpi Industries etc v Kerala State Road Transport Corporation & Anr, and Khyaati Engineering v Prodigy Hydro Power Pvt Ltd –...
Looking east, Sreenivasan Narayanan, Raja Bose and Rob Houston, K&L Gates Straits Law

New frontiers for arbitrations seated in Singapore

By Sreenivasan Narayanan, Raja Bose and Rob Houston, K&L Gates Straits Law
Supreme Court judgment opens new frontier for Singapore-seated arbitration for Indian parties, write Sreenivasan Narayanan, Raja Bose and Rob Houston The Supreme Court’s landmark decision in PASL Wind Solutions Private Limited v GE Power Conversion...
Supreme Court- Party autonomy is the backbone of arbitration

Supreme Court: Party autonomy is the backbone of arbitration

The Supreme Court in a recent landmark judgment titled PASL Wind Solutions Private Limited v GE Power Conversion India Private Limited ruled that nothing stands in the way of party autonomy in designating a...
Demystifying limitation period under section 37 appeals

Demystifying limitation period under section 37 appeals

The conundrum regarding the limitation period of filing an appeal under section 37 of the Arbitration and Conciliation Act, 1996, seems to have been demystified with the Supreme Court’s verdict in the matter of...
top indian law firms 2021

Indian Law Firm Awards 2021

Discover our other annual awards Award Vandana Chatlani reports India has faced a terrible year battling the covid-19 pandemic. Companies and law firm offices shut shop. Homes were turned into work spaces, and lawyers relied on...
Factors when drafting arbitration clauses in commercial contracts, Manoj Kumar, Hammurabi & Solomon

Factors when drafting arbitration clauses in commercial contracts

By Manoj Kumar, Hammurabi & Solomon
In the recent case of PASL Wind Solutions Pvt Ltd v GE Power Conversion India Pvt Ltd, the Supreme Court allowed two Indian parties to elect a foreign seat of arbitration and clarified that...
Delay for filing appeals condoned under Commercial Courts Act

Delay for filing appeals condoned under Commercial Courts Act 

The Supreme Court, in a judgment dated 19 March 2021, in Govt of Mahrashtra v M/s Borse Brothers Engineers and Contractors Pvt Ltd, held that the application of section 5 of the Limitation Act...
litigation

Court lays down law for selection of forum in arbitration

The Calcutta High Court in arbitration petition no. 199 of 2020 Bowlopedia Restaurants India Limited v Devyani International Limited decided on 21 January 2021 has laid down the law pertaining to the selection of...
Arbitration gets support in validity and fraud challenges, Sonam Gupta, Sneha Jaisingh and Saloni Gupta, Bharucha & Partners

Arbitration gets support in validity and fraud challenges

By Sonam Gupta, Sneha Jaisingh and Saloni Gupta, Bharucha & Partners
The Supreme Court, in delivering its judgement in NN Global Mercantile Pvt Ltd v Indo Unique Flame Ltd & Ors, has reinforced India’s recent pro-arbitration approach to dispute resolution. The court held that arbitration...
India shifts its focus in maritime arbitration, Gautam Khurana and Pankaj Kapoor, India Law Offices

India shifts its focus in maritime arbitration

By Gautam Khurana and Pankaj Kapoor, India Law Offices
Shipping is widely recognized as the first truly global industry, no longer limited to coastal countries. With the horizons of India’s vision of world trade widening, the resolution of shipping and maritime disputes will...
Issue of unstamped arbitration agreements still in question

Issue of unstamped arbitration agreements still in question

The Supreme Court recently split open another issue that was previously considered settled – the enforceability of an arbitration agreement incorporated in an unstamped contract. The decision of the Supreme Court was given recently...
Not-Happy

Not happy

Amazon isn't smiling about the proposed Reliance-Future deal, arguing that it will call into question the enforcement of contracts in India. Freny Patel finds out whether its arguments hold water The world’s richest man, Jeff...
Warning signs for Arbitration act amendment

Warning signs for Arbitration act amendment

The recent amendment to India’s Arbitration and Conciliation Act, 1996, has taken the arbitration community by surprise, with many fearing that parties against whom an arbitral award has been passed will try to stall...
India law firms- deals of the year 2020video

Deals of the Year

Deals of the year 2022 Deals of the year 2021 Deals of the year 2019 Deals of the year 2018 Deals of the year 2017 Deals of the year 2016 Deals of the year 2015 Deals of...
Enforcing foreign awards involving only Indian parties, Karthik Somasundram and Sneha Jaisingh, Bharucha & Partners

Enforcing foreign awards involving only Indian parties

By Karthik Somasundram and Sneha Jaisingh, Bharucha & Partners
The Gujarat High Court in GE Power Conversion India Pvt Ltd v PASL Wind Solutions Pvt Ltd decided whether two Indian parties could choose a foreign seat of arbitration, and then be entitled to...

Proof of notice needed for appointment of arbitrator

In a recent case before the Allahabad High Court, an application was filed under section 11(6) of the Arbitration and Conciliation Act, 1996, for the appointment of an arbitrator, on the grounds of non-cooperation of...
Arbitration Manoj Kumar, Hammurabi & Solomon

Commercial consequences of foreign arbitration emergency awards

By Manoj Kumar, Hammurabi & Solomon
Following the 2006 changes to the UNCITRAL Model Law (model law) enabling arbitral tribunals to grant interim relief, a number of institutions including the Singapore International Arbitration Centre (SIAC) changed their rules to allow...
Price fluctuations Contract

Specific mention of price fluctuations is needed in contracts

The Supreme Court in a recent judgment upheld the order of the Gauhati High Court, setting aside an award passed by the arbitral tribunal that was based on an impossible interpretation of a contract. In...
Freny Patel reports, Vodafone,Indian government

Billions on the line

Vodafone may have won the day after a favourable arbitration result cut off India's claim to massive back taxes, but will this crucial award remain unchallenged when so much more is at stake? Freny...
Arbitration-award-against-Jackie-Shroff-set-aside

Arbitration award against Jackie Shroff set aside

In a recent judgment in the case of Jackie Kukubhai Shroff v Ratnam Sudesh Iyer, Bombay High Court, while allowing the petition filed by actor Jackie Shroff, set aside the award passed against him...
arbitrators litigation alternative dispute resolution

Evolving doors

A reluctance to opt for litigation during the pandemic has seen new opportunities for arbitrators and other alternative dispute resolution practitioners. Shalvi Mehta assesses what should stay and what should go Covid-19 and the subsequent...
Shweta Bharti and Shantanu Malik,Hammurabi & Solomon awards enforcement

No rewards for challenging awards in post-hearing stage

By Shweta Bharti and Shantanu Malik, Hammurabi & Solomon
The Arbitration and Conciliation Act, 1996, governs the enforcement of foreign arbitral awards. The act essentially consolidated laws relating to arbitration and the enforcement of awards that resulted from the accession to the New...
Justice Prathiba M Singh delhi courts

The courts fight back

In a very short span of time India’s courts have adapted to working during the pandemic, and the lessons learned during this time will be used to increase efficiency and productivity of the judicial...
Karthik-Somasundram-and-Sneha-Jaisingh,-Bharucha-&-Partners

Domestic award set aside for patent illegality

By Karthik Somasundram and Sneha Jaisingh, Bharucha & Partners
Patel Engineering Limited secured three arbitral awards against North Eastern Electrical Corporation Limited (NEECO) in respect of a project in Meghalaya. NEECO unsuccessfully challenged the awards under section 34 of the Arbitration and Conciliation...
foreign arbitral award enforcement Appellate arbitration Bhasin & Co

Enforcement of foreign arbitral award allowed

In the case of Centrotrade Minerals & Metals Inc v Hindustan Copper Ltd, the Supreme Court has upheld the validity of appellate arbitration clauses. The appellant, Centrotrade Minerals, with its headquarters in Virginia, US, had...
Anush Raajan Swastika Chakravarti Lakshmikumaran & Sridharan Insolvency and Bankruptcy code india

Disputed claims are not defaults under IBC

By Anush Raajan and Swastika Chakravarti, Lakshmikumaran & Sridharan
Under section 7 of the Insolvency and Bankruptcy Code, 2016 (IBC), the National Company Law Tribunal (NCLT) in admitting a petition by a financial creditor is concerned only with the existence of a default...
E-courts

E-courts to aid Japanese companies with disputes

By Manish Dembla and Pradyuman Singh Sewar, Kochhar & Co
Justice in India has long been delayed. There are about 4.85 million cases pending in 25 high courts and approximately 36.64 million cases pending before 3,235 district and taluka courts. In Meters and Instruments...
new normalvideo

Surviving a ‘new normal’

India Business Law Journal teamed up with prominent arbitrator Ashok Sharma and a stellar panel of GCs to debate how in-house legal teams should rise to the unprecedented challenges facing Indian companies in a...

Filing limitations apply under section 8 of Arbitration Act

Delhi High Court, in a recent judgment, dealt with an important question of law on whether a limitation period applies to applications under section 8 of the Arbitration and Conciliation Act. Further, whether the...
corporate debtors

Net tightens for promoters of corporate debtors

By Manoj Kumar and Shweta Bharti, Hammurabi & Solomon
2020 has witnessed two legal developments that will impact the recovery strategies of operational creditors in India. The first development is the insertion of section 32A into the Insolvency and Bankruptcy Code, 2016 (code),...
funding

Third-party funding needed in arbitrations

With the advent of the coronavirus, the world is heading towards an unprecedented economic slowdown. The situation is even more peculiar in India, where the economy has been in the doldrums for more than...
arbitral award

How foreign awards are enforced in India

By Simranjeet Singh and Rohan Ahuja, Athena Legal
Trade between India and South Korea has seen significant growth in recent years due to the beneficial policies implemented by both countries. This growth in trade and commerce has seen a corresponding rise in...
enforcement

Bias towards enforcement of foreign awards

By Karthik Somasundram and Shreya Gupta, Bharucha & Partners
Disputes arose between joint venture partners for the control of Ravin Cables Ltd. Prysmian, the Italian partner, invoked arbitration under the London Court of International Arbitration (LCIA) rules alleging material breaches by the Indian...
Unilateral appointment

Unilateral appointments under threat

The Supreme Court, in Perkins Eastman Architects DPC & Anr v HSCC (India), delivered a landmark judgment in November 2019, where it held that arbitration clauses that allow one party to unilaterally appoint a...
insolvency

IBC cannot be used as a threat

In a recent judgment, the Calcutta High Court dealt with the question of whether an application under section 34 of the Arbitration & Conciliation Act, 1996, can be kept in abeyance owing to the...
Arbitration

Overlap between insolvency code and arbitration law

By Charanya Lakshmikumaran and Puneeth Ganapathy, Lakshmikumaran & Sridharan
Arbitral awards are treated as orders of a court and can be enforced as such, under the Civil Procedure Code, 1908 (CPC), subject to defences under the Arbitration and Conciliation Act, 1996. The Insolvency...
sole arbitrator

When the appointment of a sole arbitrator is invalid

By Karthik Somasundram and Sneha Jaisingh, Bharucha & Partners
Disputes arose from the termination of a design consulting contract between HSCC (India) Limited and a consortium consisting of Perkins New York and Edifice Mumbai (consortium), for the planning, designing and specifications of two...
award

New reasons for hope in domestic arbitral awards

By Manoj Kumar, Hammurabi & Solomon
Commercial expediency has always required an award to be intelligible and adequately reasoned in order to achieve the desired outcomes for parties using the arbitration process to resolve their business and commercial disputes. Almost...
arbitration cadbury

Section 87 relief for private companies

In a significant move, the Supreme Court, in Hindustan Construction Company Ltd v Union of India, granted a huge relief to several debt-ridden private sector companies (which are acting as contractors of the government)...
Looking beyond litigation for resolving disputes

Courting mediation

The Singapore Mediation Convention offers hope to businesses looking for an alternative to time-consuming litigation in overburdened courts. Amar Sundram reports A recent article headlined “Trust Deficit” in a leading Indian financial newspaper pointed out...

Multiple dimensions of mediation

A good settlement strategy evolves depending on the interplay between different aspects of the dispute, write Shaneen Parikh and Shalaka Patil India has grappled with the issue of lengthy delays in the court system, eliciting...
arbitrate

Non-signatories of a group are bound to arbitrate

By Karthik Somasundram and Shreya Gupta, Bharucha & Partners
The courts have previously applied the doctrine of group companies when they referred non-signatories to an arbitration agreement to arbitrate. The Supreme Court invoked this doctrine again in the case of MTNL v Canara...

Fraud allegation cannot nullify arbitration agreement

In a recent judgment, the Supreme Court held that the mere allegation of simple or plain fraud may not be a ground to nullify the effect of an arbitration agreement between the parties. In the...
arbitrator

Supreme Court holds that company director can nominate arbitrator

The Delhi High Court in a recent judgment held that courts have now consistently proceeded to appoint an independent arbitrator in situations where the arbitration clause is in conflict with the amended Arbitration Act....
arbitration

Courts must restrict role to determining existence of arbitration agreement

In a recent judgment of M/s Mayavati Trading Pvt Ltd v Pradyuat Deb Burman, a three-judge bench of the Supreme Court overruled the judgment in United India Insurance Company v Antique Art Exports Private...
Supreme Court

Equal treatment of all parties to legislation

By Karthik Somasundram and Sneha Jaisingh, Bharucha & Partners
To enhance the attraction of arbitration, the Supreme Court ruled in Pam Developments Pvt Ltd v State of West Bengal that the government, as a party to arbitration, is not entitled to special or...
India Business Law Journal

Mixed fortunes

Differing real estate trends emblematic of India? A recent bidding war for an office building in the heart of Mumbai’s business district, the Bandra Kurla Complex, that had earlier drawn lukewarm interest, points to the...
arbitration

Pressing issue

As the government pushes through with the International arbitration act, Experts believe ‘under-regulation’ is key to making India a global dispute resolution hub. M Rochan reports The government aims to put India on the global...

Ineligibility of an arbitrator fatal, unless waived

By Karthik Somasundram and Shreya Gupta, Bharucha & Partners
Section 12(5) of the Arbitration and Conciliation Act, 1996 (act), prescribes that a person whose relationship with the parties or the counsel or the subject matter of dispute falls under any of the categories...
Only court in specified venue can appoint arbitrator

Only court in specified venue can appoint arbitrator

In its judgment in Brahmani River Pellets v Kamachi Industries, the Supreme Court held that when the parties agree to have the venue of arbitration at a particular place, only the high court with...
Supreme court declines to apply group of companies doctrine in arbitration

Supreme Court declines to apply group of companies doctrine in arbitration

The Supreme Court, in the recent judgment of Reckitt Benckiser (India) Ltd v Reynders Label Printing India Ltd, refused to invoke the group of companies doctrine (which bind non-signatory affiliates) to implead a foreign...
Supreme Court

Unstamped agreements cannot trigger arbitration

By Karthik Somasundram and Sneha Jaisingh, Bharucha & Partners
Can an arbitration stipulation in an unstamped or unregistered agreement be enforced? The Supreme Court had settled this issue in the SMS Tea Estates (2011) case. It held that an arbitration stipulation is not...
arbitration

Effectiveness of arbitration in financing document disputes

By Nishtha Arora and Sounak Chakraborty, SNG & Partners
Globally, litigation and arbitration are the most commonly used methods for resolving commercial and transactional disputes. However, in India, in case of a dispute arising from financing transactions, the most preferred mechanism opted by...
ineligible person cannot appoint arbitrator

Ineligible person cannot appoint arbitrator

In a recent judgment in the Bharat Broadband Network Ltd. (BBNL) v United Telecoms Ltd case, the Supreme Court held that the appointment of an arbitrator by a person ineligible to be an arbitrator...
dispute-digest-water-privatization

Pre-deposit clauses to invoke arbitration struck down

In a recent judgment in ICOMM Tele Ltd v Punjab State Water Supply and Sewerage Board and Anr, the Supreme Court struck down a clause requiring a pre-deposit to invoke arbitration proceedings between the...
Karthik Somasundram and Sneha Jaisingh Bharucha & Partners April

Court says consumers not obliged to seek arbitration

By Karthik Somasundram and Sneha Jaisingh, Bharucha & Partners
Section 8 of the Arbitration and Conciliation Act, 1996 (act), requires judicial authorities to refer parties to arbitration. The Supreme Court in the P Anand Gajapathi Raju (2000) and Sukanya Holdings (2003) cases prescribed...
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Are tenancy-related disputes arbitrable?

By Gerald Manoharan and Vishnu Vinayak, J. Sagar Associates
The Transfer of Property Act, 1882 (act), provided a general legislation regarding the transfer of immovable properties and interests. Subsequently, with the view of specifically regulating tenancy relationships, primarily to control inflated rentals and...
India Business Law Journal

Putting out fires

‘Come not between the dragon and his wrath’ These words of Shakespeare’s King Lear have resonated across the ages and surely must be heeded in this age of Twitter, Instagram, and Glassdoor. A disgruntled and...
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Arbitrator can be dismissed for overcharging

Rajasthan High Court, while deciding a writ petition, recently held that an arbitrator charging exorbitant fees can have their mandate terminated if they create a doubt in the mind of a party regarding prejudice...
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Tribunal rules against NTPC in shipping dispute

In a recent judgment, an arbitral tribunal constituted of Justice Vikramajit Sen (retired), Justice B P Singh (retired) and Justice Anil Kumar (retired) passed an arbitration award on 27 January 2019 in favour of...
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Former employee able to act as arbitrator

The Supreme Court recently held that the Arbitration and Conciliation Act, 1996, does not disqualify a former employee from acting as an arbitrator provided there are no doubts about his independence and impartiality. The...
Karthik Somasundram and Sneha Jaising, Bharucha & Partners

Supreme Court: Place of arbitration not always seat

By Karthik Somasundram and Sneha Jaisingh, Bharucha & Partners
On what basis is the “seat” of an arbitration determined if the arbitration agreement specifies only the venue of hearing? The three-judge bench of the Supreme Court answered this issue in Union of India...
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News in brief – December 2018/January 2019

INDUSLAW ADDS DISPUTES PARTNER IndusLaw promoted Palecanda M Chinnappa as a partner in its litigation and dispute resolution practice in Bengaluru. Chinnappa advises on disputes and laws in areas such as arbitration and conciliation, banking and...
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Existence of dispute under insolvency code

By Abhishek Dutta, Vineet V Shrivastava and Manish Parmar, Aureus Law Partners
Under the Insolvency and Bankruptcy Code, 2016, the corporate insolvency resolution process (CIRP) can be initiated by an operational creditor if there is no dispute in relation to the default on the part of...

Matters cannot be remanded to arbitrator for fresh decision

The Supreme Court recently held that a court, while deciding a section 34 petition under the Arbitration and Conciliation Act, 1996, has no jurisdiction to remand the matter to an arbitrator for a fresh...

Supreme Court clarifies distinction between ‘place’ and ‘seat’ of arbitration

The Supreme Court recently considered the legal issue regarding the specification of a “place” or “venue” for arbitration in an arbitration agreement, and if the agreement is silent with respect to the “seat”, then...

Supreme Court says arbitral award not operational debt

By Karthik Somasundram and Sneha Jaisingh, Bharucha & Partners
Is an arbitration award against which a challenge is pending under the Arbitration and Conciliation Act, 1996, sufficient to commence insolvency proceedings under the Insolvency and Bankruptcy Code, 2016? “No”, said the Supreme Court...

High court replaces reluctant arbitrator

The High Court of Himachal Pradesh recently substituted a non-performing arbitrator because of his inability to arbitrate on the matter. In Devki Nandan Steel Works and others v HP State Electricity Board Ltd and others,...

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