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2021 Supreme(SC) 290

ROHINTON FALI NARIMAN, B.R.GAVAI, HRISHIKESH ROY
Pasl Wind Solutions Private Limited – Appellant
Versus
Ge Power Conversion India Private Limited – Respondent


Advocates Appeared:
For the Petitioner(s):Tushar Hemani, Dhaval Shah, Sharvil Pathak, Unmesh Shukla, Aditi Sheth, Anushree Prashit Kapadia, Advocates
For the Respondent(s):Nakul Dewan, Shaneen Parikh, Shalaka Patil, Surya Karan Sambyal, Rahul Mantri, Anushka Shah, Sambit Nanda, Sumit Attri, for M/s. Cyril Amarchand Mangaldas, Advocates

Judgement Key Points

Based on the provided legal document, this case primarily concerns issues related to the enforceability and jurisdiction of foreign arbitral awards, the seat of arbitration, party autonomy, and the applicable legal framework governing arbitration between Indian parties. The focus is on whether Indian parties can designate a foreign seat of arbitration, the recognition of foreign awards, and the interplay between domestic and international arbitration laws.

There is no indication in the document that the case involves or deals with the power of the arbitrator to decide patent infringement disputes specifically. The disputes discussed revolve around contractual obligations, warranties, arbitration clauses, and enforcement of arbitral awards, rather than patent rights or infringement issues.

Therefore, this case does not primarily address or deal with the power of an arbitrator to decide patent infringement disputes.


JUDGMENT :

ROHINTON FALI NARIMAN, J.

1. Leave granted.

2. The present appeal raises an interesting question - as to whether two companies incorporated in India can choose a forum for arbitration outside India - and whether an award made at such forum outside India, to which the Convention on the Recognition and Enforcement of Foreign Arbitral Awards, 1958 [“New York Convention”] applies, can be said to be a “foreign award” under Part II of the Arbitration and Conciliation Act, 1996 [“Arbitration Act”] and be enforceable as such.

Factual Background

3.1. The appellant is a company incorporated under the Companies Act, 1956 with its registered office at Ahmedabad, Gujarat. The respondent is a company incorporated under the Companies Act, 1956 with its registered office at Chennai, Tamil Nadu and is a 99% subsidiary of General Electric Conversion International SAS, France, which in turn is a subsidiary of the General Electric Company, United States.

3.2. In 2010, the appellant issued three purchase orders to the respondent for supply of certain converters. Pursuant to these purchase or

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