“I THINK THE FIRST DUTY OF SOCIETY IS JUSTICE.”
ALTERNATIVE DISPUTE RESOLUTION
Firm Rajasthan Udyog & Ors v. Hindustan Engineering & Industries Ltd
Arbitration award fixing land price cannot be executed as decree for specific performance – Supreme Court
The Supreme Court held that an arbitral award merely fixing the price of land cannot be executed as though it were a decree for specific performance of a sale agreement.
The Court observed that the arbitrator had only been asked to determine compensation payable under the agreement and not to grant specific performance of the sale transaction.
The Bench reiterated the settled principle that an executing court cannot travel beyond the scope of relief granted in the decree or arbitral award.
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Quippo Construction Equipment Ltd v. Janardan Nirman Pvt Ltd
Non-participation in arbitral proceedings amounts to waiver of jurisdictional objections – Supreme Court
The Supreme Court held that a party which deliberately chooses not to participate in arbitral proceedings and fails to raise objections before the arbitral tribunal cannot later challenge jurisdiction after the award is passed.
The Court observed that objections regarding jurisdiction must be raised at the earliest stage before the arbitrator as required under the Arbitration and Conciliation Act.
The Judgement can be accessed at:
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National Agricultural Cooperative Marketing Federation of India v. Alimenta S.A
Foreign arbitral award opposed to public policy not enforceable in India – Supreme Court
The Supreme Court declared unenforceable a foreign arbitral award against NAFED on the ground that it was contrary to the foundational policy of Indian law and basic concepts of justice.
The dispute related to an international export contract that could not be performed due to Government restrictions and denial of export permissions.
The Court held that enforcement of the foreign award would violate Indian public policy under the Arbitration and Conciliation Act.
The Judgement can be accessed at:
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INSURANCE
Bajaj Allianz General Insurance Co Ltd & Anr v. The State of Madhya Pradesh
Storage, unpacking and assembly of helicopter outside scope of ‘ordinary course of transit’ – Supreme Court
The Supreme Court set aside the order directing Bajaj Allianz General Insurance to compensate the Madhya Pradesh Government for damage caused to a helicopter during transit.
The Court examined whether storage, unpacking and assembly of the helicopter at New Delhi fell within the “ordinary course of transit” covered under the insurance policy.
The Bench held that such activities were outside the scope of ordinary transit and therefore insurance coverage had already ceased.
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