{"id":380204,"date":"2026-04-05T11:00:13","date_gmt":"2026-04-05T05:30:13","guid":{"rendered":"https:\/\/www.scconline.com\/blog\/?p=380204"},"modified":"2026-04-04T22:30:05","modified_gmt":"2026-04-04T17:00:05","slug":"2026-scc-vol-3-part-1-latest-supreme-court-cases","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2026\/04\/05\/2026-scc-vol-3-part-1-latest-supreme-court-cases\/","title":{"rendered":"2026 SCC Vol. 3 Part 1: Key Supreme Court Cases on Arbitration, Contract, &amp; Customs"},"content":{"rendered":"<div style=\"text-align: justify; line-height: 150%;\">\n<p style=\"margin-bottom: 3%;\">This volume of the Supreme Court Cases (SCC), Part 3 of Volume 1, embodies a landmark case decided by the Supreme Court on the challenge to execution of award, remedies for breach of contract, and customs duty on electrical energy.<\/p>\n<div style=\"background-color: #e6eeff; border-bottom: 1px solid black; border-bottom-style: dashed;\">\n<p style=\"margin-bottom: 3%;\"><span style=\"font-weight: bold;\"><a href=\"https:\/\/www.scconline.com\/DocumentLink.aspx?q=JTXT-0002726958\" target=\"_blank\">Arbitration and Conciliation Act, 1996<\/a> &#8212; S. <a href=\"https:\/\/www.scconline.com\/DocumentLink.aspx?q=JTXT-0001544941\" target=\"_blank\">36<\/a> &#8212; Limited scope of challenge to execution of award under S. 47 CPC:<\/span> Law clarified on limited scope of challenge to execution of award under S. 47 CPC, [<span style=\"font-style: italic;\">MMTC Ltd.<\/span> v. <span style=\"font-style: italic;\">Anglo American Metallurgical Coal (P) Ltd.<\/span>, <a href=\"http:\/\/www.scconline.com\/DocumentLink\/c7MRWdSO\" target=\"_blank\">(2026) 3 SCC 99<\/a>]<\/p>\n<\/div>\n<div style=\"border-bottom: 1px solid black; border-bottom-style: dashed;\">\n<p style=\"margin-bottom: 3%;\"><span style=\"font-weight: bold;\">Contract and Specific Relief &#8212; Remedies\/Relief &#8212; Remedies for Breach of Contract &#8212; Damages &#8212; Stipulated Damages, Forfeiture\/Penalty Clauses and Earnest money\/Security deposits &#8212; Clause whether in the nature of penalty:<\/span> Adoption of Cavendish Square test, 2016 AC 1172 (UKSC) which affords greater respect for party autonomy and emphasises that where a clause does not represent the genuine pre-estimate of loss, it cannot be regarded as penalty if there is &#8220;commercial justification&#8221; for it. Law clarified on applicability of test propounded in Cavendish Square, based on &#8220;commercial justification&#8221;, namely: (a) Whether any &#8220;legitimate business interest&#8221; is protected by the clause (first limb)?; and (b) If so, is the provision made in the clause &#8220;exorbitant, extravagant or unconscionable&#8221; or is there some wider &#8220;commercial or socio-economic justification&#8221; for the clause (second limb)?, [<span style=\"font-style: italic;\">BPL Ltd.<\/span> v. <span style=\"font-style: italic;\">Morgan Securities &amp; Credits (P) Ltd.<\/span>, <a href=\"http:\/\/www.scconline.com\/DocumentLink\/309LAK3Y\" target=\"_blank\">(2026) 3 SCC 1<\/a>]<\/p>\n<\/div>\n<div style=\"background-color: #e6eeff; border-bottom: 1px solid black; border-bottom-style: dashed;\">\n<p style=\"margin-bottom: 3%;\"><span style=\"font-weight: bold;\">Customs &#8212; Refund &#8212; Customs duty paid on electrical energy cleared from Special Economic Zone (SEZ) to Domestic Tariff Area (DTA) &#8212; Refund of:<\/span> Imposition of customs duty on electrical energy cleared from Special Economic Zone (SEZ) to Domestic Tariff Area (DTA), not permissible. Refund of collected amount, directed, [<span style=\"font-style: italic;\">Adani Power Ltd.<\/span> v. <span style=\"font-style: italic;\">Union of India<\/span>, <a href=\"http:\/\/www.scconline.com\/DocumentLink\/go4tt0G4\" target=\"_blank\">(2026) 3 SCC 143<\/a>]<\/p>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p style=\"font-style: italic;\">Explore the latest Supreme Court Cases in 2026 SCC Vol. 3 Part 1 on challenge to execution of award, breach of contract, and customs duty on electrical energy.<\/p>\n","protected":false},"author":67524,"featured_media":380205,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[5,16],"tags":[4751,101814,27704,101815,3174,29538,101816,84722,11411],"class_list":["post-380204","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-casesreported","category-supremecourtcases","tag-scc","tag-2026-scc-vol-3-part-1","tag-breach-of-contract","tag-challenge-to-execution-of-award","tag-contract","tag-customs","tag-customs-duty-on-electrical-energy","tag-latest-supreme-court-cases","tag-supreme-court-cases"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.4 (Yoast SEO v26.4) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>2026 SCC Vol. 3 Part 1: Latest Supreme Court Cases | SCC Times<\/title>\n<meta name=\"description\" content=\"Read 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