A single judge set aside an ex parte arbitral award under Section 34 of the Arbitration and Conciliation Act, 1996, holding that there was no arbitration agreement between the parties and the DGS&D Manual did not apply.
The impugned award dated 24.02.2011 was set aside.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
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NAGALAND INDUSTRIAL RAW MATERIALS & SUPPLY CORPORATION LIMITED ..... Petitioner Through Mr.Gaurav Mahajan & Mr.Lokesh Chopra, Advocates
versus
UNION OF INDIA AND ANOTHER ..... Respondents Through Mr.Manish Mohan, CGSC with Ms.Manisha Saroha & Ms.Shivangi Sinha, Advocates
CORAM:
HON'BLE MR. JUSTICE JAYANT NATH O R D E R
% 12.09.2017
also the case of the respondents that the petitioner has claimed an excess payment of Rs.2 crores for which supply has not been received. The respondents hence sought recovery of Rs.1,95,12,105.07/-.
communications sent to the learned arbitrator in this regard whereby the petitioner had objected to the arbitration proceedings being conducted by the learned arbitrator. On the said date, i.e. 02.08.2017, arguments were heard in part. The learned counsel for the respondents was unable to show any arbitration clause in the agreement between the parties. He sought an adjournment to seek instructions as to whether apart from the Price Agreement dated 13.02.1991 any other document/agreement is applicable to the facts of this case, which contains the arbitration clause. The matter was adjourned to 18.08.2017. On that date, i.e. 1808.2017, further adjournment was sought by the learned counsel for the respondents as he submitted that in the short period it had not been possible for the Government to locate any document which will show existence of the arbitration clause.
manifest that there was no arbitration agreement between the parties. In the absence of any arbitration agreement, the learned arbitrator had no authority to start arbitration proceedings and pass an award. The award is also liable to be set aside under Section 34(2)(a) (ii) of the Act.
JAYANT NATH, J.
SEPTEMBER 12, 2017/v
2 issues framed by the court
Whether the impugned award can be set aside under Section 34 of the Arbitration and Conciliation Act, 1996 in the absence of an arbitration agreement between the parties.
Whether the DGS&D Manual forms part of the price agreement entered into by the parties to establish an arbitration clause.
2 provisions across 1 enactments
Nagaland Industrial Raw Materials & Supply Corporation Limited
Union of India
Jayant Nath
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
