Apex Law Journal
Apex Law Journal
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Neha Goel, Advocate

Advisory Board

S.C. Khunger, Advocate

Rohit Bansal, Advocate

Varinder Singh Kanwar, Advocate

Hittan Nehra, Advocate

Judgments on Arbitration

Thursday, August 18, 2011

Arbitration — Lease deed containing arbitration agreement not registered — Effect — Held, an arbitrator can no doubt be appointed in regard to any disputes relating to the lease deed — But as the lease deed, in the instant case,  was not registered, the Arbitrator can not rely upon the lease deed or any term thereof and the lease deed cannot affect the immovable property which is the subject matter of the lease nor be received as evidence of any transaction affecting such property — Therefore, the Arbitrator will not be able to entertain any claim for enforcement of the lease — Registration Act, 1908, Sections 17 and 49.  


Arbitration — Lease deed containing arbitration agreement not registered — Appellant seeking arbitration for recovery of amounts spent by it in regard to the estates on the assumption that it was entitled to purchase the property or at least have a lease of 30 years — Held, if this claim is treated as a claim for damages for breach in not granting the lease for 30 years then it would be for enforcement of the terms of the lease deed which is impermissible under section 49 of the Registration Act — If it is treated as claim de hors the lease deed then the arbitrator may not have jurisdiction to decide the dispute as the arbitration agreement (clause 35) is available only to settle any dispute or difference arising between the parties in relation to or in any manner touching upon the lease deed and not in regard to disputes in general — Registration Act, 1908, Sections 17 and 49.

Wednesday, December 02, 2009

Arbitration — In the present case, the appellant had made serious allegations against the respondents alleging him to commit malpractices in the account books and manipulate the finances of the partnership firm — Held, such a dispute cannot be properly dealt with by the Arbitrator — As such, the High Court was justified in dismissing the petition of the appellant to refer the matter to an Arbitrator. 

Tuesday, October 13, 2009

Arbitration — Legal position that emerges from the decisions of this Court can be summarised thus: 

(a) In a case where an arbitrator travels beyond the contract, the award would be without jurisdiction and would amount to legal misconduct and because of which the award would become amenable for being set aside by a Court. 

(b) An error relatable to interpretation of the contract by an arbitrator is an error within his jurisdiction and such error is not amenable to correction by Courts as such error is not an error on the face of the award. 

(c) If a specific question of law is submitted to the arbitrator and he answers it, the fact that the answer involves an erroneous decision in point of law does not make the award bad on its face. 

(d) An award contrary to substantive provision of law or against the terms of contract would be patently illegal. 

(e) Where the parties have deliberately specified the amount of compensation in express terms, the party which has suffered by such breach can only claim the sum specified in the contract and not in excess thereof. In other words, no award of  compensation in case of breach of contract, if named or specified in the contract, could be awarded in excess thereof. 

(f) If the conclusion of the arbitrator is based on a possible view of the matter, the court should not interfere with the award.

(g) It is not permissible to a court to examine the correctness of the findings of the arbitrator, as if it were sitting in appeal over his findings. 

Monday, September 14, 2009

Arbitration — In the instant case Clause 12.2 of the Arbitration clause is silent about the number of arbitrator — Therefore, Section 10(2) of the said Act squarely applies — Arbitration and Conciliation Act, 1996, Section 10 (2).


Arbitration — The parties autonomy in the arbitration agreement must be given due importance in construing the intention of the parties.      


Arbitration — Assistance of an expert — An arbitral tribunal can, if necessary, take the help of experts in terms of Section 27 of the Arbitration and Conciliation Act, 1996 — If the sole arbitrator requires the assistance of an expert it can always take such assistance.

Friday, August 15, 2008

Arbitration — Whether the partnership deed is illegal or void is a question which, held, could only be decided by the civil court — The dispute could not be referred to arbitration. 

Saturday, March 15, 2008

Arbitration — Relief of declaration that the partnership deed is illegal and void, held, could only be granted by the Civil Court — Such a dispute cannot be referred to arbitration.

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