In an arbitration petition, the Delhi High Court dismissed the case after noting that the contract's arbitration clause explicitly excluded PSUs and Government departments, rendering it inapplicable to the petitioner.
The petition is dismissed as the arbitration clause is inapplicable to PSUs and Government departments.
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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versus
MTNL ..... Respondent Through Ms. Raashi Beri, Advocate with Mr. Arun Sanwal, Advocate
CORAM: HON'BLE MS. JUSTICE JYOTI SINGH
O R D E R
% 10.01.2020
On the last date of hearing, learned counsel for the respondent had sought time to take instructions in the matter. Learned counsel for the respondent has drawn the attention of the Court to the Arbitration Clause referred to at page 14 of the petition. The said clause reads as under:
"ARBITRATION CLAUSE FOR ALL CONTRACTS WITH INDIAN AND FOREIGN PARTIES (EXCEPT PSU'S AND GOVT. DEPARTMENTS).
All disputes or differences whatsoever arising between the parties out of or relating to the construction, meaning and operations or effect of this contract of the breach thereof shall be settled by arbitration in accordance with the Rules of Arbitration of the Indian Council for Arbitration Dispute Regulation and the award made in pursuance thereof shall be binding on the parties. Such arbitration shall be governed by the Arbitration and Conciliation Act, 1996."
Learned counsel points out that the Arbitration Clause, as referred to
and relied upon for the purpose of this petition, clearly excludes the PSUs and other Government departments from the said arbitration clause. Faced with this, learned counsel for the petitioner fairly submits that the said clause would not apply to the present petition.
In view of the above, the present petition cannot be allowed. The petition is accordingly dismissed.
The petitioner is, however, at liberty to take recourse to any other remedy which may be available to him in accordance with law.
JYOTI SINGH, J
JANUARY 10, 2020 jitender/
2 issues framed by the court
Whether the Arbitration Clause excluded PSUs and Government departments applies to the present petitioner.
Whether the Arbitration and Conciliation Act, 1996 governs disputes involving PSUs and Government departments under the stated clause.
2 provisions across 2 enactments
Er. Rajainderr Aina/Rajender Jaina
MTNL
Jyoti Singh
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
