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Dhiresh Pandey Honest (Advocate)     09 May 2015

Arbitral award jurisdiction

Dear Members,

I want your views regarding my interpretation on the Territorial jurisdiction for challenging Arbitral Award As per Supreme Court judgement Panvel & Anr. v Atlanta Limited and  Bharat Aluminium Company vs. Kaiser Aluminium (Balco Judgment) that the Arbitral awrad can be challenged under Supervisory Jurisdiction as well as Under Section 20 of CPC, where subject matter of the suit is situated and District Court would be the first court of recourse and would aptly exercise jurisdiction except where the High Court ordinary original civil side jurisdiction will have primacy to hear the petition,. For example if jurisdictional clause in an agreement consisting  jurisdiction of the courts of two states and one of the parties due to some dispute arising out of the agreement goes for the appointment of arbitrator and after appointment arbitrator passes award against the other party who is situated in the other state which is also the other state mentioned in the jurisdictional clause. Now whether the other party can challenge it in the district court of the other state under section 15 and 20 c.p.c. read with Section 2 (1) (e) of the Arbitration and Conciliation Act, 1996 as per the above Supreme Court Judgments.   

Thanks and Regards

 

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 4 Replies

Jeetender Gupta (Advocate)     10 May 2015

Where was the seat of arbitration as per actual agreement. And where did it actually take place. Ideally seat (and not actual place) sets the jurisdiction.

Dhiresh Pandey Honest (Advocate)     14 May 2015

Yes, I was also of the same view but the ruling of Bombay high Court in Videocon Industries Limited V/s JMC Projects India Limited where Hon'ble Court has held that if there was no arbitration clause and such a suit cannot be filed within the jurisdiction of the Bombay High Court then petition Under Section 34 could not have been filed in the Bombay High Court merely on the ground that arbitration award was delivered in Bomabay High Court. In balco judgment 

In my case there were two jurisdiction conferred through an arbitration agreement, Haryana and Maharashtra. Arbitration Award was delivered in Bombay. Now the party against whom the award has been passed wants to challenge it in Haryana District Courts on the basis of the BALCO judgment by the Hon'ble Supreme Court in which it has expounded the dual jurisdiction over domestic arbitral award as: 1. Court within whose jurisdiction subject matter of the suit is situated as per the provisions of the CPC, and 2. the Courts within whose jurisdiction the dispute resolution process i.e.arbitation is located (Supervisory jurisdiction). 

Looking for the valuable opinions of learned advocates.     

Dhiresh Pandey Honest (Advocate)     19 May 2015

Hi Senior Learned Advocates and members, what happened is this topic not that complex which requires your suggestions and opinions or vice versa?

Saurendra Rautray (advocate)     02 June 2015

Hi,

Kindly let me know which court had appointed the Arbitrator , Secondly where is the lis situated in mention the state. 

Regards 

Saurendra Rautray

Rautray & Co

New Delhi.

www.rautray&co

09437008255


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