On Monday, the Supreme Court has to deal with another case wherein the intersted parties have knock the door of Writ Court in Arbitration matter.
The Top Court was clearly frowned upon the practise repeating again and again and thus imposed costs of ₹50,000 on the litigant to be paid to the SC Legal Services Committee within two weeks.
The bench comprising Justice Rohinton Fali Nariman, Navin Sinha and Krishna Murari in the order stated:
"We may only reiterate what we have stated in Deep Industries Limited v. Oil and Natural Gas Corporation Limited and Another (2019) SCC OnLine SC 1602 and several other cases that we have frowned upon persons knocking at the doors of the Writ Court in arbitration matters. This is one more such case.",
The present case in concerned with M/S Ved Prakash Mithal who had filed a suit before the Delhi High Court for recovery of a certain sum against the Principal, Kirorimal College. The High Court rightly appointed an arbitrator to adjudicate the dispute since there was an Arbitration clause in the agreement. This order was assailed before the Supreme Court by M/s Ved Prakash Mithal by filing SLP.
In a similar manner, Justice Nariman led bench had dismissed another SLP by imposing costs and while observing:
"A petition under Article 227 of the Constitution of India against dismissal of a petition under Section 16 of the Arbitration and Conciliation Act can be entertained only when there is perversity in the order which leads to a patent lack of inherent jurisdiction."
Read Order Here:
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