Deletion Of Names Through Chamber Summons Does Not Render Appeal U/S 50(1)(B) Of A&C Act As Not Maintainable: Bombay High Court

The Bombay High Court bench of Justices A.S. Chandurkar and M.M. Sathaye has observed that when a common arbitration petition seeking recognition, enforcement and execution of a foreign award is declined against all the respondents, the mere fact that some respondents had successfully filed chamber summons seeking deletion of their names would not render the appeal filed...

Unilateral Option To Terminate Arbitration Agreement Does Not Render It Illegal: Bombay High Court

The Bombay High Court Bench of Justice Somasekhar Sundaresan while disposing an application for appointment of arbitrator has observed that an arbitration clause which gives option to only one party to opt out of the arbitration agreement is not invalid per se. Such arbitration agreement can be saved by eliminating the unilateral option or by making such right...

Amalgamated Company Can Adjust Written Down Assets Of Constituent Companies & Claim Depreciation Without Central Govt Approval: Bombay HC

The Bombay High Court stated that amalgamated company can adjust written down of assets of amalgamating companies and claim depreciation without central government's approval. The Division Bench of Chief Justice Alok Aradhe and Justice M.S. Karnik stated that “The Tribunal was not justified in law in holding that in view of insertion of Section 72A in the Income Tax Act,...

Statutory Protection Under Maharashtra Rent Control Act Can't Be Circumvented By Invoking Arbitration Petition To Seek 'Speedy Eviction': High Court

The Bombay High Court bench of Justice Somasekhar Sundaresan has held that the jurisdiction under Section 9 of the Arbitration and Conciliation Act, 1996 (“the Act”) cannot be invoked to circumvent the statutory protection afforded to tenants under the Maharashtra Rent Control Act, 1999 (“Rent Act”). Interim measures under Section 9 must aid arbitral proceedings and cannot...

No Bar On Arbitrator To Allow Withdrawal Of Claims Provided Legitimate Interests Of Other Party Are Not Prejudiced: Bombay High Court

The Bombay High Court bench of Justices Revati Mohite Dere and Dr. Neela Gokhale has held that the arbitrator can allow the parties to withdraw their claims to initiate fresh arbitration proceedings by issuing a new notice of arbitration, provided that the legitimate interests of the other party are not prejudiced. Brief Facts: An agreement was executed between the Petitioner, in...

Limitation Cannot Be Decided As Preliminary Issue Without Recording Whether It Is A Mixed Question Of Law And Fact: Bombay High Court

The Bombay High Court bench of Chief Justice Alok Aradhe and Justice M.S. Karnik has held that an arbitrator is not permitted to decide the issue of limitation as a preliminary issue without first recording a finding as to whether it is a mixed question of law and fact that requires evidence to be led. It further held that if such a finding is not recorded and the issue is...

Bombay High Court Directs Developer Of Lodha Worli Towers To Collect Maintenance At Rate Agreed Upon Between Parties Until Arbitral Proceedings Are Completed

The Bombay High Court bench of Justice Somasekhar Sundaresan the developer of Lodha World Towers in a petition filed under section 9 of the Arbitration and Conciliation Act, 1996 (Arbitration Act) has been directed to charge the Federation Common Area Maintenance (FCAM) Charges at the rate agreed upon in the agreement executed between the parties, until the arbitral proceedings...

Tenants Occupying Premises Which Fall Under Development Agreement Cannot Be Evicted U/S 9 Of Arbitration Act: Bombay High Court

The Bombay High Court bench of Justice Somasekhar Sundaresan has held that Eviction of tenants governed by the Rent Control Act cannot be sought under Section 9 of the Arbitration and Conciliation Act, 1996 (Arbitration Act), particularly when they are not parties to the Development Agreement executed between the Developer and the Landlords and are not being provided upgraded premises in...

Invocation Of Section 9 & Section 11 Of Arbitration Act Does Not Constitute Parallel Proceedings: Bombay High Court

The Bombay High Court single bench of Justice Somasekhar Sundaresan held that the mere invocation of Section 9 and Section 11 of the Arbitration and Conciliation Act, 1996 does not amount to parallel proceedings. Further, the High Court noted that Section 9 is intended to provide interim relief to safeguard the subject matter of arbitration. On the other hand, Section 11 is limited to...

Arbitrator's Decision To Postpone Issue Of Partnership Firm's Dissolution To Stage Of Final Hearing Not Perverse: Bombay High Court

The Bombay High Court bench of Justices A.S. Chandurkar and Rajesh S. Patil has held that the decision of the Arbitrator to postpone the issue of determining the date of dissolution of the partnership firm to the stage of final hearing cannot be considered perverse for the purpose of section 34 of the Arbitration and Conciliation Act, 1996 (Arbitration Act), as it requires evidence to...

Court Must Assign Reasons For Accepting Or Rejecting Grounds Of Challenge U/S 34 Of Arbitration Act: Bombay High Court

The Bombay High Court bench of Justices A.S. Chandurkar and Rajesh Patil has held that a petition under Section 34 of the Arbitration and Conciliation Act, 1996 (Arbitration Act) cannot be dismissed merely by stating that the scope of interference is limited; the court must address each ground of challenge and provide reasoned findings. Brief Facts: The appellant (hereinafter...

Bombay High Court Injuncts Owner Of Kapani Resorts From Alienating Any Interest In Properties Until Conclusion Of Arbitral Proceedings

The Bombay High Court bench of Justice Somasekhar Sundaresan has injuncted the owner of Kapani Resorts and Greater Kailash Property from alienating any interest in the Resorts and the property under section 9 of the Arbitration and Conciliation Act, 1996 (Arbitration Act), until the conclusion of arbitral proceedings Brief Facts: Under the Agreement executed between Mr. Manmohan...