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IN THE HIGH COURT OF HIMACHAL PRADESH, SHIMLA
AJAY MOHAN GOEL
RK Products through its proprietor Smt. Kusum Mahajan – Appellant
Versus
Chairman Himachal Pradesh Micro Small Facilitation Council Shimla – Respondent
| Table of Content |
|---|
| 1. msmed reference rejected by council as time-barred. (Para 1 , 2 , 3) |
| 2. parties contest limitation applicability to council reference. (Para 5 , 6) |
| 3. limitation applies to msmed arbitration under section 18(3). (Para 7 , 8 , 9 , 10 , 11) |
| 4. no limitation for msmed conciliation under sections 18(1)/(2). (Para 12 , 13 , 14 , 15) |
| 5. court quashes order; directs council conciliation. (Para 16 , 17) |
JUDGMENT :
Ajay Mohan Goel, J.
By way of this petition, the petitioner has assailed order dated 16.12.2024, passed by the Micro and Small Enterprises Facilitation Council, in terms whereof, the Reference made by the petitioner under Section 18(1) of the Micro, Small and Medium Enterprises Development Act, 2006 (hereinafter referred to as “the MSMED 2006 Act,”) has been rejected by holding that the same was time barred.
2. Brief facts necessary for the adjudication of this petition are that the petitioner submitted a Reference Petition before the Council under Section 18(1) of the 2006 Act against the present respondent for recovery of an amount of Rs.2,55,96,949/- alongwith interest for delayed payments. According to the petitioner, it had supplied goods to the respondents w.e.f
The main legal point established in the judgment is that the Facilitation Council has the jurisdiction to act as an Arbitrator after the failure of conciliation proceedings under the MSME Act. The ri....
The main legal point established in the judgment is the requirement of complying with the provisions of Section 19 for challenging an award under the Act of 1996 and the limitations on entertaining a....
The Limitation Act, 1963 is not applicable to conciliation proceedings under the MSMED Act; however, it applies to arbitration proceedings, preventing stale claims from being raised under the Act.
The High Court cannot entertain writ petitions challenging awards of the Micro and Small Enterprises Facilitation Council without the mandatory deposit of 75% of the awarded amount as per Section 19 ....
Writ petition against arbitral award is maintainable; petitioner must follow remedies under Arbitration Act.
An arbitration agreement supersedes jurisdiction under the Micro and Small Enterprises Facilitation Council provisions when conflicts are solely related to arbitration agreements.
The lack of conciliation does not undermine the statutory obligation to make payment under the MSMED Act, emphasizing the importance of adherence to payment timelines by the buyer.
The Micro, Small and Medium Enterprises Development Act, 2006 has overriding effect over the Arbitration and Conciliation Act, 1996 when the jurisdiction of the Council has been invoked, and the Coun....
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