shakeb khan (law) 05 October 2020

jurisdiction

In a lease agreement there is a clause that in the event of dispute regarding the terms of agreement the matter is to be referred to arbitration. simultaneously in the same clause it is mentioned that in case of any dispute between the parties, the matter shall be decided by civil court. There is non payment of rent, now whether the civil courts will have the jurisdiction or the matter is to be decided by arbitrator?

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5 Replies

dinesh bole 05 October 2020

pl. bilaspur chhattisgarh jurisdiction

SHIRISH PAWAR, 7738990900 (Advocate) 05 October 2020

Hello,

As per me, the dispute has to be referred to an arbitrator, civil court will not have any jurisdiction in your present dispute.

Adv Vinay Mathur + 8447131770 (Advocate) 05 October 2020

The Supreme Court has held eviction and tenancy matters are governed by special Act

so there is no need for arbitration you can file a civil suit.

And it very clear that where arrears of rent and forfeiture are concerned, such disputes being non-arbitrable.

case reference:
1. Natraj Studios (P) Limited v Navrang Studios 1981(1) SCC 523 and

2. Booz Allen & Hamilton Inc v SBI Home Finance Limited (2011) 5 SCC 532.

Advocate Bhartesh goyal (advocate) 05 October 2020

Arbitrator has no jurisdiction to decide the disputes regarding payment of rents and eviction between lessor and lessee.Civil court has only jurisdiction to decide such matters.

SHIRISH PAWAR, 7738990900 (Advocate) 06 October 2020

As per me, only eviction or tenancy matters governed by special statutes and the same cannot be tried by the arbitrator. So in your case, the arbitrator has jurisdiction.

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