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IN THE HIGH COURT AT CALCUTTA
ARIJIT BANERJEE, OM NARAYAN RAI
Garden Reach Shipbuilders & Engineers Limited – Appellant
Versus
Marine Craft Engineers Private Limited – Respondent
JUDGMENT :
Om Narayan Rai, J.
1. This is an appeal under Section 37 of the Arbitration and Conciliation Act, 1996 (hereafter “the said Act of 1996”). It lays challenge to an order dated April 5, 2023 passed on an application under Section 34 of the said Act of 1996 being A.P. 831 of 2018, whereby the said application was allowed upon setting aside the award made and published on September 23, 2018, which had been impugned therein.
2. The case run in the application under Section 34 of the said Act of 1996 for setting aside the arbitral award is as follows:
(a) The appellant had floated a tender for repair of Wet Basin Flat Gate at main yard on turnkey basis. The respondent participated in the tender process and emerged successful.
(b) Thereafter a letter of intent was issued by the appellant in favour of the respondent. The said letter of intent was followed by a purchase order indicating the works to be done by the respondent.
(c) The respondent completed the work in terms of the work order but the payments due to the respondent upon completion of the work were not made by the appellant. Representations made by the respondent to the appellant demanding the payments which were due to th
The jurisdiction for hearing arbitration matters must align with commercial dispute designations; an order from a court without proper jurisdiction is void.
The Facilitation Council lacks jurisdiction over disputes arising from works contracts under the MSME Act, and principles of natural justice must be adhered to in adjudicatory processes.
The arbitration proceedings can only be challenged on jurisdictional grounds established under the Arbitration and Conciliation Act, and timeliness in raising such challenges is critical.
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.
If any registration under the MSMED Act is obtained, the same will be prospective and would apply to supply of goods and services subsequent to registration but cannot operate retrospectively. Accord....
The mandatory pre-deposit requirement under Section 19 of the MSMED Act, 2006 for challenging an award and the overriding effect of the MSMED Act, 2006 over the Arbitration Act, 1996 in specific disp....
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