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2026 Supreme(SC) 498

SANJAY KUMAR, K. VINOD CHANDRAN
Elecon Engineering Company Limited – Appellant
Versus
Bhartiya Rail Bijlee Company Limited – Respondent


Advocates appeared:
For the Appellant : Mr. Sridhar Potaraju, Sr. Adv. Mr. Ankur Prakash, AOR Mr. K. Subba Rao, Adv. Mr. Lalit Mohan, Adv. Ms. Niharika Singh, Adv. Ms. Chamundeshwari Pemmasani, Adv. Ms. Arlene Noronha, Adv. Mr. Mohd Saquib Siddiqui, Adv. Ms. Priyanka Singh, Adv.
For the Respondents: Mr. Aman Lekhi, Sr. Adv. Mr. Adarsh Tripathi, AOR Mr. Vikram Singh Baid, Adv. Mr. Ajitesh Garg, Adv. Mr. Ritwiz Rishabh, Adv. Mr. Balkrishna Begrajka, Adv.

JUDGMENT :

K. Vinod Chandran, J.

Leave granted.

2. A Collaborator’s request for arbitration, which collaboration was essential to technically qualify the Contractor to proffer a bid was declined on the ground of there being no privity of contract. The High Court considering a petition under Section 11(6) of the Arbitration and Conciliation Act, 1996 (Act of 1996) rejected the same against which the present appeal is filed. We refer to the parties as the Employer; the 1st respondent herein, the Contractor; the 2nd respondent and the Collaborator; the appellant.

3. The High Court noticed the trite principle that even non-signatories to an agreement with an arbitration clause would be entitled to invoke it, if such non-signatory is a veritable party to the arbitration agreement. However, finding that there was nothing in the notice under Section 21 of the Act of 1996 to find such inextricable connection; the notice also having specifically sought for a consent to initiate an arbitration, declined the prayer.

4. Learned Senior Counsel Sri Sridhar Potaraju, appearing for the appellant took us through the initial bid document itself to urge that without the collaboration, the Contractor would

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