IN THE HIGH COURT OF DELHI AT NEW DELHI
JASMEET SINGH
SNS Engineering Pvt. Ltd. – Appellant
Versus
Hariom Projects Pvt. Ltd. – Respondent
| Table of Content |
|---|
| 1. factual background of the case and parties involved. (Para 2 , 3 , 4 , 5 , 6 , 7 , 8 , 9) |
| 2. jurisdictional challenges raised by respondents and petitioner. (Para 10 , 12) |
| 3. court's analysis on jurisdiction and arbitration seat. (Para 11 , 13 , 15 , 16 , 19 , 21) |
| 4. conclusion on lack of jurisdiction. (Para 22) |
JUDGMENT :
JASMEET SINGH, J.
1. This is a petition filed under Section 11(6) of the Arbitration and Conciliation Act, 1996 (“1996 Act”) seeking appointment of an Arbitrator for adjudication of disputes between the parties arising out of the Work Order/Acceptance Letter dated 21.10.2021.
FACTUAL MATRIX
2. The petitioner is a Private Limited Company, duly incorporated and registered under the provisions of the Companies Act, 1956, having its office at Plot No. 48, 3rd Floor, Vishal Tower, Wazirabad, Sector-52, Gurugram-122003. The petitioner is a contractor and service provider operating in the field of mechanical, electrical, and air-conditioning industry and engaged in executing contracts, assignments, and projects related to air-conditioning, electrification, construction, installation and supply of ancillary relevant materials thereto.
3. Respondent No. 1 is als
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Jurisdiction in arbitration is determined by the agreed seat, not the location of cause of action; court lacks jurisdiction where arbitration clause specifies exclusive jurisdiction elsewhere.
The distinction between 'seat' and 'venue' of arbitration is crucial, with the seat determining jurisdiction, which in this case was Ahmedabad despite the venue being New Delhi.
The central legal point established in the judgment is the significance of contractually fixed exclusive jurisdiction and seat of arbitration in determining territorial jurisdiction for arbitration p....
The court affirmed that jurisdiction must be inherently valid and cannot be conferred by consent if lacking, emphasizing the importance of the location of the cause of action in arbitration agreement....
The court held that an exclusive jurisdiction clause cannot confer jurisdiction on a court lacking inherent authority, emphasizing the need for jurisdiction to align with the location of the cause of....
Point of law : Seat of Arbitration - What constitutes the ‘seat’ of arbitral proceedings - the intention of the parties is germane and that can be gathered from Contract.
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 designation of 'venue' in an arbitration clause does not imply the 'seat' of arbitration, which must be expressly specified; exclusive jurisdiction remains with civil courts at the location defin....
The court upheld party autonomy, determining that the High Court has jurisdiction to appoint a Sole Arbitrator even with an exclusive jurisdiction clause designating Gurugram as the venue.
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