IN THE HIGH COURT OF DELHI
C. Hari Shankar, J.
Panchganga Schools Limited - Appellant
Versus
Sarabjeet Singh - Respondent
O.M.P.(I) (COMM.) 204 of 2021 and O.M.P.(I) (COMM.) 208 of 2021
Decided On : 04-10-2021

Parties may withdraw applications under the Arbitration and Conciliation Act to resolve disputes through arbitration, subject to Arbitral Tribunal's conditions.

Headnote:(A) Arbitration and Conciliation Act, 1996 - Section 17 - Withdrawal of petitions seeking interim relief - Petitioners sought permission to withdraw their applications and present their case to the Arbitral Tribunal instead - Dismissal of the petitions is subject to conditions set by the Tribunal on the further handling of applications. (Paras 1, 2)

(B) Jurisdiction of Courts - Court does not delve into the merits of the arbitration dispute when parties wish to approach the Tribunal - The Court's role is limited when proceedings are initiated under arbitration frameworks. (Paras 1, 2)

Facts of the case:
The petitioners initiated petitions under the Arbitration and Conciliation Act, seeking interim relief by aligning their cases with the Arbitral Tribunal. They sought to withdraw the petitions for adjudication before the Tribunal instead.

Findings of Court:
The Court allowed the petitioners to withdraw their applications, with the understanding that matters would proceed as permitted by the Arbitral Tribunal.

Issues: The primary issue was whether the petitioners could withdraw their petitions in favor of resolving the matter through arbitration.

Ratio Decidendi: The court held that parties are entitled to choose arbitration and that interim applications should be directed accordingly, respecting the autonomy of the arbitral process.

Result: Both petitions dismissed as withdrawn.