“District Court, Karnal where the first petition was filed pertaining to the Agreement in question alone shall have jurisdiction over the arbitral proceedings and all subsequent applications arising out of the Licence Agreement. No other Court can entertain any subsequent application.
The Court also upheld the validity of the termination notice issued by the NHIDCL and refused to interfere with its actions against the construction company.
Sections 20-A and 41(ha) of the Specific Relief Act, 1963 expresses the legislative intent to not grant injunctions relating to infrastructure projects where delay may be caused by such an injunction. Thus, the role of Courts in this exercise is to interfere to the minimum extent so that public work projects are not impeded or stalled.
The ground of Patent illegality gives way to setting aside an Arbitral Award with a very minimal scope of intervention. A party cannot simply raise an objection on the ground of patent illegality if the Award is simply against them. Patent illegality requires a distinct transgression of law, the clear lack of which thereof makes the petition simply a pointless effort of objection towards an Award made by a competent Arbitral Tribunal.
by Shalaka Patil† and Rahul Mantri††
Cite as: 2021 SCC OnLine Blog Exp 65