{"id":268941,"date":"2022-06-23T17:30:53","date_gmt":"2022-06-23T12:00:53","guid":{"rendered":"https:\/\/www.scconline.com\/blog\/?p=268941"},"modified":"2022-08-05T16:30:33","modified_gmt":"2022-08-05T11:00:33","slug":"himachal-pradesh-high-court-lack-of-immediate-remedy-under-arbitration-act-not-a-ground-to-challenge-an-arbitral-order-passed-on-miscellaneous-application-before-high-court","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2022\/06\/23\/himachal-pradesh-high-court-lack-of-immediate-remedy-under-arbitration-act-not-a-ground-to-challenge-an-arbitral-order-passed-on-miscellaneous-application-before-high-court\/","title":{"rendered":"Himachal Pradesh High Court | Lack of immediate remedy under Arbitration Act not a ground to challenge an arbitral order passed on miscellaneous application before High Court"},"content":{"rendered":"
\n

\n

Himachal Pradesh High Court<\/span>: In the case where it was argued before the Court that the Arbitration and Conciliation Act, 1996<\/a> (for short \u201c1996 Act\u201d) does not provide for any remedy to challenge an arbitral order and was hence, against the \u201cpublic policy of India\u201d, Satyen Vaidya J. observed that,<\/p>\n

\u201cThe term \u201cpublic policy of India\u201d carries within it innumerable facets. It is altogether a different thing to say that there is no immediate remedy available to the petitioners than to say that they have no remedy at all.\u201d<\/span><\/p>\n

The observation came after the Court noted that a party to arbitration proceedings has a remedy to challenge the award passed in such proceedings under Section 34<\/a> of the 1996 Act<\/a>. An application was filed by the petitioners under Order 11, Rules 1<\/a> & 2<\/a> read with Section 151<\/a> of the Code of Civil Procedure<\/a> (for short \u201cCPC) seeking reply of the respondents, who are claimants before the Arbitrator, to the interrogatories formulated on behalf of the non-claimants\/petitioner which was thereby dismissed. The grounds for dismissal were firstly, that the application was not maintainable before filing of written statement and secondly, that without the written statement of the petitioners herein on record, the application was premature as the relevance of the interrogatories could not be adjudged. Aggrieved by this, an instant petition was filed.<\/p>\n

The Court observed that Section 5<\/a> of Arbitration and Conciliation Act, 1996<\/a> (for short 1996 Act) starts with a non obstante<\/span> clause, strictly prohibiting intervention by any judicial authority in matters governed by Part-I of 1996 Act except where so provided in such part. The intent of legislature is loud and clear. By making the 1996 Act a complete Code and incorporation of provision like Section 5 thereof arbitral proceedings were not only kept independent but free from any unnecessary delays also. Thus, though Section 5 of the 1996 Act cannot be a clog on powers of constitutional courts, nevertheless such powers may also not be readily available<\/span>.<\/p>\n

Reliance was placed on SBP & Co.<\/i> v. Patel Engineering Ltd.<\/i>, (2005) 8 SCC 618<\/a>, wherein it was observed<\/p>\n

\u201cIt is seen that some High Courts have proceeded on the basis that any order passed by an arbitral tribunal during arbitration would be capable of being challenged under Article 226<\/a> or 227<\/a> of the Constitution of India<\/a><\/span>. We see no warrant for such an approach. Section 37 makes certain orders of the arbitral tribunal appealable. Under Section 34, the aggrieved party has an avenue for ventilating his grievances against the award including any in-between orders that might have been passed by the arbitral tribunal acting under Section 16 of the Act. The party aggrieved by any order of the arbitral tribunal, unless it has a right of appeal under Section 37 of the Act, has to wait until the award is passed by the Tribunal. This appears to be the scheme of the Act.<\/span><\/p>\n

\u2026 We, therefore, disapprove of the stand adopted by some of the High Courts that any order passed by the arbitral tribunal is capable of being corrected by the High Court under Article 226<\/a> or 227<\/a> of the Constitution of India<\/a>. Such an intervention by the High Courts is not permissible.\u201d<\/span><\/p>\n

The Court, hence, refrained from adjudicating on the merits of the impugned order as being not maintainable and held that\u201cthe arbitrator though having trappings of tribunal, yet the impugned order will not be amenable to challenge under Article 227<\/a> of the Constitution of India<\/a>.\u201d<\/span><\/p>\n

[V. Kare Biotech v. Hemant Aggarwal, 2022 SCC OnLine HP 2972,<\/a> decided on 21-06-2022<\/span>]<\/p>\n

\n

Advocates who appeared in this case :<\/p>\n

Subhash Sharma, Advocate, for the petitioner;<\/p>\n

Sanjeev Kuthiala, Sr. Advocate and Anaida Kuthiala, Advocate, for the respondent.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Himachal Pradesh High Court: In the case where it was argued before the Court that the Arbitration and Conciliation Act, 1996 (for <\/p>\n","protected":false},"author":67011,"featured_media":268946,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[3,10],"tags":[41950,3226,40741,14471,2517,33186,7272],"class_list":["post-268941","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-casebriefs","category-highcourts","tag-arbitral-proceedings","tag-arbitration","tag-arbitration-and-conciliation-act-1996","tag-article-227","tag-Himachal_Pradesh_High_Court","tag-remedy","tag-writ-jurisdiction"],"yoast_head":"\nHimachal Pradesh High Court | Lack of immediate remedy under Arbitration Act not a ground to challenge an arbitral order passed on miscellaneous application before High Court | SCC Times<\/title>\n<meta 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The respondent\u2026","rel":"","context":"In "Case Briefs"","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":256923,"url":"https:\/\/www.scconline.com\/blog\/post\/2021\/11\/10\/law-on-arbitration-what-is-the-remedy-against-an-order-allowing-application-under-s-8-of-arbitration-act-where-existence-of-arbitration-clause-is-not-disputed\/","url_meta":{"origin":268941,"position":2},"title":"Law on Arbitration | What is the remedy against an order allowing application under S. 8 of Arbitration Act, where existence of arbitration clause is not disputed? Del HC discusses","author":"Bhumika Indulia","date":"November 10, 2021","format":false,"excerpt":"Delhi High Court: Amit Bansal, J., dismissed a petition challenging the order passed by the lower court whereby respondent's application under Section 8 of Arbitration and Conciliation Act, 1996 was admitted. Instant petition was filed impugning the decision of the lower court whereby the application filed on behalf of the\u2026","rel":"","context":"In "Case Briefs"","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":324713,"url":"https:\/\/www.scconline.com\/blog\/post\/2024\/06\/19\/no-bar-to-invoke-arbitration-even-if-alternative-remedy-available-under-rera-act-gauhc\/","url_meta":{"origin":268941,"position":3},"title":"No bar to invoke arbitration even if alternative remedy available under RERA Act: Gauhati High Court","author":"Simranjeet","date":"June 19, 2024","format":false,"excerpt":"There is nothing to show that there is any inconsistency or repugnancy between the provisions of the Real Estate (Regulation and Development) Act, 2016 and arbitration as an alternative. The parties have agreed to arbitration clause provided in contract agreement for settlement of disputes including the issue raised by petitioners.","rel":"","context":"In "Case Briefs"","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"Gauhati High Court","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2024\/03\/Gauhati-High-Court.webp?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2024\/03\/Gauhati-High-Court.webp?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2024\/03\/Gauhati-High-Court.webp?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2024\/03\/Gauhati-High-Court.webp?resize=700%2C400&ssl=1 2x"},"classes":[]},{"id":240015,"url":"https:\/\/www.scconline.com\/blog\/post\/2020\/12\/02\/hp-hc-claim-barred-by-limitation-is-a-question-of-law-and-facts-which-arbitral-tribunal-or-arbitrator-has-to-consider-on-the-basis-of-record-petition-allowed\/","url_meta":{"origin":268941,"position":4},"title":"HP HC | Claim barred by limitation is a question of law and facts which Arbitral Tribunal or Arbitrator has to consider on the basis of record; petition allowed","author":"Editor","date":"December 2, 2020","format":false,"excerpt":"Himachal Pradesh High Court: L. Narayana Swamy CJ., while exercising its powers under Section 11(6) of the Arbitration and Conciliation Act, 1996, appointed an Arbitrator and further allowed to either determine its own procedure for settling the dispute or run itself as per Section 23 and Section 29A of the\u2026","rel":"","context":"In "Case Briefs"","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":254702,"url":"https:\/\/www.scconline.com\/blog\/post\/2021\/09\/24\/section-34-of-arbitration-and-conciliation-act\/","url_meta":{"origin":268941,"position":5},"title":"Section 34 of the Arbitration and Conciliation Act, 1996: Whether Courts have the Power to Modify or Vary Arbitral Awards","author":"Editor","date":"September 24, 2021","format":false,"excerpt":"by Rohan Tigadi*","rel":"","context":"In "Op Eds"","block_context":{"text":"Op Eds","link":"https:\/\/www.scconline.com\/blog\/post\/category\/op-ed\/legal-analysis\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/09\/MicrosoftTeams-image-120-copy.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/09\/MicrosoftTeams-image-120-copy.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/09\/MicrosoftTeams-image-120-copy.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/09\/MicrosoftTeams-image-120-copy.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/09\/MicrosoftTeams-image-120-copy.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]}],"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts\/268941","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/users\/67011"}],"replies":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/comments?post=268941"}],"version-history":[{"count":0,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts\/268941\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/media\/268946"}],"wp:attachment":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/media?parent=268941"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/categories?post=268941"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/tags?post=268941"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}