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PAMIDIGHANTAM SRI NARASIMHA, JOYMALYA BAGCHI
Harcharan Dass Gupta – Appellant
Versus
Union of India – Respondent
| Table of Content |
|---|
| 1. jurisdiction of delhi arbitration centre (Para 2 , 3 , 4 , 5 , 6) |
| 2. msmed act overrides arbitration act (Para 8 , 9) |
| 3. jurisdiction of facilitation council (Para 10 , 11) |
| 4. appeal granted; arbitration ordered (Para 13 , 14) |
JUDGMENT
PAMIDIGHANTAM SRI NARASIMHA, J.
1. Delay condoned, leave granted.
2. The present appeal is directed against the order dated 22.04.2024 passed by the Karnataka High Court whereby the writ petition [Writ Petition No. 27269 of 2023 (GM-RES)] filed by the respondent has been allowed, and it has been held that the Delhi Arbitration Centre lacks jurisdiction to manage arbitral proceedings as the contract between the appellant and the respondent provides that the seat for arbitration shall be at Bengaluru. For the reasons to follow and in view of the overriding effect of Micro, Small and Medium Enterprises (Development) Act, 2006 [Hereinafter referred to as the ‘MSMED Act.] over the Arbitration and Conciliation Act, 1996 [Hereinafter referred to as the ‘Arbitration Act.] as affirmed by this Court in Gujarat State Civil Supplies Corporation Ltd. v. Mahakali Foods Pvt. Ltd. , (2023) 6 SCC 401 we have allowed the appeal and restored the arbitral
The Micro, Small and Medium Enterprises (Development) Act, 2006 supersedes arbitration agreements under the Arbitration Act, confirming that statutory provisions have overriding effect in disputes in....
The Arbitration and Conciliation Act, 1996 is overridden by the MSMED Act, 2006, establishing the jurisdiction of the Facilitation Council for disputes, thereby necessitating adherence to its terms o....
The Micro, Small and Medium Enterprises Development Act has precedence over the Arbitration and Conciliation Act, allowing parties to reference disputes to the MSEFC despite existing arbitration agre....
The arbitration agreement's designation of venue and exclusive jurisdiction prevails over statutory arbitration under the MSMED Act, and the statutory arbitration does not override the parties' agree....
The jurisdiction to challenge an award under Section 34 of the Arbitration Act is governed by the exclusive jurisdiction clause in the parties' agreement, not by the MSMED Act.
The exclusive jurisdiction of the court as per the arbitration agreement revives post-award, and failure to follow statutory procedures under the MSMED Act warrants the award's annulment.
The court upheld that statutory remedies under the MSMED Act take precedence over private arbitration agreements, affirming the Facilitation Council’s jurisdiction in disputes involving MSMEs.
Section 34 of the Arbitration Act arises as is evident from sub Section (6) of Section 16 of the Arbitration Act, which inter alia provides that the parties aggrieved by such an arbitral award may ma....
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