M/S. RAM BARAI SINGH & CO. versus STATE OF BIHAR & ORS.

M/S. RAM BARAI SINGH & CO. versus STATE OF BIHAR & ORS.

A writ petition under Article 226 is maintainable even where an arbitration clause exists, if no timely objection is taken to alternative remedy, and order rendered on merits cannot be set aside solely on the ground of the existence of an arbitration clause, particularly when the contract had worked itself out.

Parties
Appellant: M/S. RAM BARAI SINGH & CO.; Respondent: STATE OF BIHAR & ORS.
Jurisdiction
India
Judgment Date
17 December 2014
Procedural Posture
Civil Appeal / Appeal From Division Bench Decision, Restoration of Single Judge Order
Outcome
Appeal allowed
Legal Topics
Article 226, Writ Petitions, Arbitration Clause, Alternative Remedy
Constitutional Law Civil Procedure Article 226 Writ Petitions Arbitration Clause Alternative Remedy

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Parties

M/S. RAM BARAI SINGH & CO.

Appellant

STATE OF BIHAR & ORS.

Respondent

Procedural Posture

Civil Appeal / Appeal From Division Bench Decision, Restoration of Single Judge Order

Legal Issues

  1. 1 Whether existence of an arbitration clause renders a writ petition under Article 226 not maintainable
  2. 2 Effect of non-raising objection regarding alternative remedy on maintainability of writ petition

Ratio Decidendi

A writ petition under Article 226 is maintainable even where an arbitration clause exists, if no timely objection is taken to alternative remedy, and order rendered on merits cannot be set aside solely on the ground of the existence of an arbitration clause, particularly when the contract had worked itself out.

Court Disposition

Appeal allowed

Orders

  • Order under appeal (Division Bench) is set aside
  • Judgment and order of Single Judge is restored