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IN THE HIGH COURT OF JUDICATURE AT BOMBAY
SOMASEKHAR SUNDARESAN, J.
Raymond Limited – Appellant
Versus
Miltex Apparels – Respondent
JUDGEMENT :
Context and Background:
1. This Petition is an appeal filed under Section 37(2)(a) of the Arbitration and Conciliation Act, 1996 (“the Act”), challenging an order dated October 4, 2023 (“Impugned Order”), by which a Learned Arbitral Tribunal upheld a challenge to its jurisdiction under Section 16 of the Act. The core issue that has to be adjudicated in this Petition is whether the agreement between the parties stood extended beyond its stated term, bringing within the scope of the arbitration clause contained in it, disputes relating to activities conducted during such extended term.
Context and Factual Background:
2. The Petitioner, Raymond Ltd. (“Raymond”) is a manufacturer of ready-made branded garments while Respondent No. 1, M/s Miltex Apparels (“Miltex”), a partnership firm, is a distributor of such branded garments manufactured by Raymond in the territories of Mumbai, Navi Mumbai and Thane up to Dahanu Road and Raigad District (“Territory”). The other Respondents are partners of Miltex.
3. A company called Raymond Apparel Ltd. and Miltex executed a Distributor Agreement dated June 9, 2015 (“Distributor Agreement”) by which Raymond granted Miltex exclusive rights to di
An arbitration agreement must be explicitly extended in writing; mere conduct or implied renewal does not suffice to extend the arbitration clause.
The distributorship agreement was terminable and had expired by efflux of time. The appellant's attempt to enforce the agreement was not tenable. The Court found no error in the decisions of the Arbi....
The main legal point established in the judgment is that the existence of an arbitration clause in a contractual agreement provides the parties with the remedy of invoking the arbitration clause for ....
The court emphasized that the clear jurisdiction clause within the arbitration agreement led to habitual jurisdiction in the appointed court, regardless of other locations of execution.
Arbitration clauses may survive contract expiration if parties show conduct indicative of ongoing agreement; proper prerequisites for injunction must be adhered to for issuing orders under the Arbitr....
An extension clause in a contract that allows for the extension of the delivery period for a further period of one year on the same terms and conditions does not give the party exercising the option ....
Courts examine the existence of an arbitration agreement at a preliminary stage without delving into substantive issues or contract novation; such matters are reserved for the Arbitrator.
The arbitration clause was limited to disputes arising from work done in Lucknow, with no jurisdiction over claims for work in other districts.
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