BHARAT ALUMINIUM CO. versus KAISER ALUMINIUM TECHNICAL SERVICE, INC.

BHARAT ALUMINIUM CO. versus KAISER ALUMINIUM TECHNICAL SERVICE, INC.

Part I of the Arbitration and Conciliation Act, 1996 applies only to arbitrations which take place within the territory of India by the express declaration in section 2(2); it does not apply to international commercial arbitrations seated outside India, and Indian courts have no jurisdiction to grant interim...

Source-derived case information.

Parties
Appellant: Bharat Aluminium Co.; Respondent: Kaiser Aluminium Technical Service, Inc.
Jurisdiction
India
Judgment Date
06 September 2012
Procedural Posture
Civil Appeal / Constitution Bench Reference Determination
Outcome
Reference answered; law declared prospectively
Legal Topics
Interpretation of Arbitration and Conciliation Act, 1996, Territoriality Principle, Scope of Part I and Part II, Interim Measures by Indian Courts, Application of Part I to Foreign Seated Arbitrations
Arbitration Interpretation of Arbitration and Conciliation Act, 1996 Territoriality Principle Scope of Part I and Part II Interim Measures by Indian Courts Application of Part I to Foreign Seated Arbitrations

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Summary, issues, holding and outcome

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Parties

Bharat Aluminium Co.

Appellant

Kaiser Aluminium Technical Service, Inc.

Respondent

Procedural Posture

Civil Appeal / Constitution Bench Reference Determination

Legal Issues

  1. 1 Does section 2(2) of the Arbitration and Conciliation Act, 1996 bar the application of Part I to arbitrations which take place outside India?
  2. 2 Whether interim relief under section 9 or suit for interim injunction is maintainable in India for arbitrations with seat outside India?
  3. 3 Is section 2(2) in conflict with sections 2(4), 2(5), and 2(7)?

Ratio Decidendi

Part I of the Arbitration and Conciliation Act, 1996 applies only to arbitrations which take place within the territory of India by the express declaration in section 2(2); it does not apply to international commercial arbitrations seated outside India, and Indian courts have no jurisdiction to grant interim measures or entertain suits for interim injunction based solely on foreign-seated arbitrations.

Court Disposition

Reference answered; law declared prospectively

Orders

  • Part I of the Arbitration and Conciliation Act, 1996 applies only to arbitrations seated in India.
  • Indian courts cannot grant interim relief under section 9 for foreign seated arbitrations.