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YOGESH KHANNA
M S Talwar Auto Garages Private Limited – Appellant
Versus
M S Ve Commercial Vehicles Limited – Respondent
JUDGMENT
Yogesh Khanna, J.
1. ARB.P. 1204/2022 is filed by the petitioner under Section 11 of Arbitration and Conciliation Act for appointment of an arbitrator to adjudicate the disputes between the parties. The arbitration clause 32 of the Dealership Agreement dated 29.10.2013, renewed on 01.04.2017 is as under:
"32) DISPUTE RESOLUTION AND JURISDICTION
The parties hereto shall endeavor to settle by mutual conciliation any claim, dispute, or controversy ("Dispute") arising out of or in relation to, this Agreement, including any Dispute with respect to the existence or validity hereof the interpretation hereof the activities performed hereunder, or the breach hereof. Any Dispute which cannot be so resolved through such conciliation within 30 days or such extended period as the parties may agree, shall be finally settled under the provisions of the Indian Arbitration and Conciliation Act, 1996 and Rules made thereunder and any statutory amendments/modifications thereof in Delhi. The seat of arbitration shall always be at Delhi. The Courts of Indore shall have exclusive jurisdiction in all matters arising under this Agreement."
2. Reference is also made to other clauses of the agreeme
The main legal point established in the judgment is that the designation of the seat of arbitration confers exclusive jurisdiction on the courts at that seat, influencing the court's decision on juri....
Point of law: Where any disputes arise between parties in respect of or in connection with the agreement then parties shall first endeavour to conciliate the disputes failing which the same shall be ....
The jurisdictional seat of arbitration was Panchkula in Haryana, and not Delhi, as the arbitrator had fixed the jurisdictional seat under Section 20(2) of the Act before any party had moved the court....
The main legal point established in the judgment is that an exclusive jurisdiction clause in an agreement determines the courts with jurisdiction to entertain disputes and grant interim protection.
The designation of a jurisdictional 'seat' in arbitration agreements is critical; parties must adhere to contractual terms for determining jurisdiction, confirming that Mumbai was the agreed 'seat' o....
The jurisdiction for appointing an arbitrator lies with the court where the principal agreement was executed, as per Section 11(6), despite a venue specified in an ancillary agreement.
Parties to an arbitration agreement may confer exclusive jurisdiction to a specific court, making that court sole authority for dispute resolution, irrespective of other claims.
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