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S. M. SUBRAMANIAM
Mumtaj Begum, W/o. Saleem Khan B. , Rep by her Power Agent Mr. Saleem Khan B, S/o. Basha – Appellant
Versus
Shriram Transport Finance Company Ltd. , Rep. by its Branch Head – Respondent
ORDER :
[Prayer: Civil Revision Petition is filed under Article 227 of the Constitution of India, praying to set aside the order dated 12.12.2022 passed in I.A.No.05 of 2022 in O.S.No.2834 of 2022 on the file of the XX Assistant City Civil Court at Chennai and consequently restore the same.]
1. The Civil Revision Petition has been filed against the order dated 12.12.2022 passed in I.A.No.05 of 2022 in O.S.No.2834 of 2022 on the file of the XX Assistant City Civil Court at Chennai and consequently, restore the same.
2. The revision petitioner is the plaintiff, instituted a suit for permanent injunction. During the pendency of the suit, the respondent filed an Interlocutory Application in I.A.No.5 of 2022 under Section 8 of Arbitration and Conciliation Act, 1996 to refer the dispute to the Arbitrator.
3. The trial Court adjudicated the issues and made a finding as follows:
Disputes over loan repayments are subject to arbitration under the agreement, and mere participation in court does not waive the right to invoke arbitration if a formal written statement hasn't been ....
Explicit arbitration agreement required under Section 8; mediation clause insufficient to refer disputes to arbitrator.
The court affirmed that Civil Courts have the jurisdiction to issue interim relief even when an Arbitration clause exists, emphasizing the need to uphold due process in eviction cases.
A Civil Court can issue interim injunctions despite an arbitration clause, ensuring due process is followed before evictions, while arbitration remains a valid method to resolve disputes.
Once parties establish the seat of arbitration, invoking jurisdiction elsewhere under the Arbitration and Conciliation Act, 1996 is impermissible.
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