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SANJAY KUMAR, K. VINOD CHANDRAN
MCM Worldwide Private Limited – Appellant
Versus
Construction Industry Development Council – Respondent
| Table of Content |
|---|
| 1. arbitration history and sequential court challenges. (Para 1 , 2 , 3 , 4 , 5 , 6 , 7) |
| 2. section 16 scheme: continue proceedings post-jurisdiction rejection. (Para 8 , 9) |
| 3. indian farmers: preliminary limitation as interim award. (Para 10 , 11 , 12) |
| 4. s16 rejection not interim; challenge after final award. (Para 13 , 14 , 15 , 16) |
| 5. set aside high court judgment; appeal allowed. (Para 17) |
JUDGMENT :
SANJAY KUMAR, J.
1. Leave granted.
2. During the arbitral proceedings between the parties, a fundamental legal aspect came to be glossed over on a patent misunderstanding of a decision of this Court. Hence, this order, to clarify the legal position.
3. Arbitration commenced between the parties upon appointment of a sole Arbitrator by the Delhi High Court in the context of the disputes arising under their Memorandum of Understanding (MoU) dated 02.03.2006 read with the Memorandum of Understanding (MoU) dated 05.05.2008 of the respondent, M/s. Construction Industry Development Council, with Employment Generation and Marketing Mission, Department of Rural Development, Government of Andhra Pradesh.
4. The appellant, M/s. MCM Worldwide Private Limited, had earlier filed a suit in
Rejection of jurisdictional plea under Section 16(2) (limitation bar) by arbitral tribunal not challengeable under Section 34 pre-final award; must await final award per Section 16(6), distinguishing....
An order of an arbitral tribunal rejecting a plea of lack of jurisdiction under Section 16(2) of the Arbitration and Conciliation Act, 1996 is not an interim award amenable to challenge under Section....
The court established that challenges to an arbitrator's jurisdiction under Section 16 can only be raised after a final award, not as an interim appeal.
It cannot be accepted that order under Section 16 of Act would change its nature upon two different contingencies, that is to say, where order rejects plea of no jurisdiction, it becomes an interim a....
The Arbitral Tribunal has the power to rule on its own jurisdiction, including ruling on any objections with respect to the existence or validity of the arbitration agreement, and for that purpose, a....
The main legal point established in the judgment is the distinction between jurisdictional issues and decisions on the merits of the dispute under the Arbitration and Conciliation Act, 1996.
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