PURUSHOTTAM S/O TULSIRAM BADWAIK versus ANIL & ORS.

PURUSHOTTAM S/O TULSIRAM BADWAIK versus ANIL & ORS.

The governing provisions for arbitration, if the agreement was signed and arbitral proceedings commenced after the 1996 Act came into force, are those of the 1996 Act, regardless of whether the arbitration agreement refers to the 1940 Act. An incorrect reference to the 1940 Act does not invalidate the arbitration agreement; the High Court erred in holding otherwise; the case must be referred under Section 8 of the 1996 Act.

Parties
Appellant: Purushottam S/o Tulsiram Badwaik; Respondents: Anil & Ors.
Jurisdiction
India
Judgment Date
02 May 2018
Procedural Posture
Civil Appeal / Appeal From High Court Judgment (civil Revision Application No. 88 of 2015)
Outcome
Appeal allowed
Legal Topics
Applicability of Arbitration and Conciliation Act, 1996 Versus Arbitration Act, 1940, Arbitration Agreement Validity, Section 8 Referral to Arbitration
Arbitration Applicability of Arbitration and Conciliation Act, 1996 Versus Arbitration Act, 1940 Arbitration Agreement Validity Section 8 Referral to Arbitration

Case Brief

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Parties

Purushottam S/o Tulsiram Badwaik

Appellant

Anil & Ors.

Respondents

Procedural Posture

Civil Appeal / Appeal From High Court Judgment (civil Revision Application No. 88 of 2015)

Legal Issues

  1. 1 Whether reference to Arbitration Act, 1940 in the arbitration agreement after coming into force of Arbitration and Conciliation Act, 1996 affects validity or applicability of the agreement
  2. 2 Whether proceedings should be governed under the 1996 Act where agreement refers to 1940 Act

Ratio Decidendi

The governing provisions for arbitration, if the agreement was signed and arbitral proceedings commenced after the 1996 Act came into force, are those of the 1996 Act, regardless of whether the arbitration agreement refers to the 1940 Act. An incorrect reference to the 1940 Act does not invalidate the arbitration agreement; the High Court erred in holding otherwise; the case must be referred under Section 8 of the 1996 Act.

Court Disposition

Appeal allowed

Orders

  • High Court judgment is set aside
  • Matter to be dealt with by trial court in terms of Section 8 of the 1996 Act