2015 Supreme(Bom) 1838
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
R.D. DHANUKA, J.
M/s.National Insurance Company Limited – Petitioner
Versus
M/s. S.A. Enterprises – Respondent
REVIEW PETITION (L) NO.51 OF 2015 IN ARBITRATION PETITION NO.1544 OF 2015
Decided On : 16.10.2015.
Mr.Y.C. Naidu a/w Ms.Veena Shankar i/by Mr.Asim S. Vidyarthi for the petitioner.
Mr.Shabbir Kapadia for the respondent.
The Court cannot go into the validity of the order passed by the learned arbitrator granting permission to the respondent for seeking assistance of the Court in taking evidence under Section 27 of the Arbitration Act.
Headnote:
Review Petition - Recall of Order - Civil Procedure Code, 1908, Section 114 - Arbitration and Conciliation Act, 1996, Sections 27(1) and 27(2) -
Fact of the Case:
The review petitioner sought recall of an order passed by the Court in an arbitration petition filed by the respondent under Sections 27(1) and 27(2) of the Arbitration and Conciliation Act, 1996. The dispute arose from a policy issued by the review petitioner in favor of the respondent. The learned arbitrator issued various directions, including for inspection of documents and admission and denial of documents.
Finding of the Court:
The Court dismissed the review petition, stating that the agreed procedure for service of pleadings and notices in the arbitral proceedings did not apply to proceedings filed in Court. The Court also held that it cannot go into the validity of the order passed by the learned arbitrator granting permission to the respondent for seeking assistance of the Court in taking evidence under Section 27 of the Arbitration Act.
Issues: Maintainability of the review petition, validity of the order passed by the learned arbitrator granting permission to the respondent for seeking assistance of the Court in taking evidence under Section 27 of the Arbitration Act.
Ratio Decidendi: The agreed procedure for service of pleadings and notices in the arbitral proceedings did not apply to proceedings filed in Court. The Court cannot go into the validity of the order passed by the learned arbitrator granting permission to the respondent for seeking assistance of the Court in taking evidence under Section 27 of the Arbitration Act.
Final Decision: The review petition was dismissed, and the Court directed the office to comply with the order passed on 11th September 2015 expeditiously. The respondent was directed to convey the next date of hearing before the learned arbitrator to the Prothonotary and Senior Master to enable the office to issue summons. The oral application for stay of the operation of the order was rejected.
By this review petition filed under Section 114 of the Civil Procedure Code, 1908, the petitioner seeks recall of the order dated 11th September 2015 passed by this Court in arbitration petition which was filed by the respondent herein under Sections 27(1) and 27(2) of the Arbitration and Conciliation Act, 1996, inter alia, praying for an order and direction against the review petitioner to provide access and inspection to the entire claim file of the respondent herein from the claim intimation letter till the claim discharge voucher on the records of the review petitioner along with all its proceedings therein and sought permission to have the photocopies certified by the review petitioner. The respondent herein had also applied for issuance of witness summons to three persons including the two of the Surveyors appointed by the review petitioner. The respondent herein was the original claimant whereas, the review petitioner was the original respondent in the arbitral proceedings.
2. At the threshold, learned counsel appearing for the respondent herein (original petitioner) raises an issue of maintainability of this review petition on the ground that there is no provision under the Arbitration and Conciliation Act, 1996 which permits filing of a review petition. Some of the relevant facts for the purpose of deciding this review petition are as under :-
3. The review petitioner had issued a policy in favour of the respondent herein. The dispute arose between the parties. By an order dated 17th November 2014 passed by the learned designate of the Chief Justice, a Senior Advocate of this Court came to be appointed as a Sole Arbitrator for deciding the dispute between the parties arising out of the said policy issued by the review petitioner. It was clarified that the issue as to 'whether there was an accord and satisfaction and discharge of the contract' shall be decided by the learned arbitrator and it would also be open to the review petitioner to lead evidence before the arbitrator to establish that there was a valid and binding discharge of the contract by way of accord and satisfaction.
4. On 5th January 2015, the learned arbitrator, upon hearing both the parties through their learned counsel and by consent of the parties, issued various directions. It was directed in the said Minutes of meeting that the next meeting of the tribunal would be held on 13th February 2015 for further directions regarding inspection of documents, admission and denial of documents, for settling the issues/points for determination and for giving further directions regarding filing affidavits of evidence, cross-examination etc. In the said Minutes of meeting, the learned arbitrator has also recorded the agreement of the parties that the service of pleadings, applications, notices and communication etc. shall be considered as sufficient, if effected upon the learned advocates on record representing the parties at their addresses mentioned in the said Minutes of meeting. At the relevant time, Ms.Sneha S.Diwedi, Advocate was representing the review petitioner and Mr.Shabbir T. Kapadia, Advocate was representing the respondent herein. Pursuant to the said directions issued by the learned arbitrator, the parties filed their pleadings along with the documents.
5. The next meeting was held by the learned arbitrator on 27th March 2015. The parties had exchanged the draft issues. The learned arbitrator recorded that the claimant's advocate had informed that the documents which the claimant would be relying upon had already been annexed to the statement of claim filed by the claimant/ respondent herein. The learned arbitrator directed the review petitioner to file its compilation of documents on or before 17th April 2015 and further directed that the admission and denial of the documents of both sides shall be completed on or before 13th April 2015. In paragraph 8 of the said Minutes of meeting, the learned arbitrator recorded the statement made by the