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Orders and Judgments Duration February 08 – 22, 2019

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Orders and Judgments Duration February 08 – 22, 2019

“THE PURPOSE OF LAW IS TO PREVENT THE STRONG FROM ALWAYS HAVING THEIR WAY.”

OVID, 1ST-CENTURY ROMAN POET

ALTERNATIVE DISPUTE RESOLUTION

ER. K. Arumugam v. V. Balakrishnan & Ors

Contempt jurisdiction must remain confined to the original order – Supreme Court

The Supreme Court reiterated that while exercising contempt jurisdiction, courts must strictly confine themselves to the four corners of the order alleged to have been violated.

The Court emphasized that contempt proceedings cannot be expanded beyond the scope of the original judicial directions.

The Judgement can be accessed at:
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Jaiprakash Associates Ltd v. Tehri Hydro Development Corporation India Ltd

Arbitral tribunals cannot award interest when contract expressly prohibits it – Supreme Court

The Supreme Court upheld the view that arbitral tribunals cannot grant interest where contractual clauses expressly bar payment of interest.

The Court observed that contractual stipulations restricting interest are binding on arbitral tribunals.

The Judgement can be accessed at:
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Royale India Rail Tours Ltd v. Cox & Kings India Ltd & Anr

Non-signatories cannot ordinarily be compelled into arbitration – Delhi High Court

The Delhi High Court held that parties who are not signatories to an arbitration agreement cannot generally be made parties to arbitration proceedings.

The Court distinguished earlier Supreme Court rulings involving inclusion of non-signatories in exceptional circumstances.

The Judgement can be accessed at:
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Kamal Kumar v. Premlata Joshi & Ors

Supreme Court explains essential requirements in suits for specific performance

The Supreme Court outlined the key questions that must be examined while deciding suits seeking specific performance of contracts.

The Court emphasized that readiness and willingness of the plaintiff is the most crucial factor for granting equitable relief.

The Judgement can be accessed at:
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Sau. Kamal Shivaji Pokarnekar v. The State of Maharashtra & Ors

Criminal proceedings cannot be quashed merely because dispute appears civil – Supreme Court

The Supreme Court held that criminal complaints cannot be quashed solely because allegations also disclose a civil dispute.

The Court clarified that criminal proceedings must continue where ingredients of the alleged offences are prima facie established.

The Judgement can be accessed at:
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MMTC Ltd v. Vedanta Ltd

Courts cannot reassess merits of arbitral awards in appeals – Supreme Court

The Supreme Court clarified that appellate courts exercising jurisdiction under Section 34 of the Arbitration Act cannot independently reassess merits of arbitral awards.

The Court reiterated limited judicial interference in arbitration matters.

The Judgement can be accessed at:
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LMJ International Ltd v. Sleepwell Industries Co. Ltd

Enforceability and maintainability of foreign awards must be examined together – Supreme Court

The Supreme Court held that issues concerning maintainability of execution proceedings and enforceability of foreign awards should not be decided separately in a piecemeal manner.

The Court interpreted the scheme of Section 48 of the Arbitration and Conciliation Act accordingly.

The Judgement can be accessed at:
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CORPORATE

Cushman and Wakefield India Private Limited v. Union of India & Anr

Delhi High Court upholds validity of Companies Registered Valuers Rules

The Delhi High Court upheld Rule 3(2) of the Companies (Registered Valuers and Valuation) Rules, 2017.

The Court rejected challenges alleging that restrictions imposed on subsidiaries and joint ventures were arbitrary and unconstitutional.

The Judgement can be accessed at:
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Dr Vishnu Kumar Agarwal v. Piramal Enterprises Ltd

Financial creditors may proceed against guarantors independently under IBC – NCLAT

The National Company Law Appellate Tribunal held that financial creditors can initiate insolvency proceedings against corporate guarantors even without proceeding first against the principal borrower.

The ruling strengthened creditor remedies under the Insolvency and Bankruptcy Code.

The Judgement can be accessed at:
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Shashi Prakash Khemka v. NEPC India Ltd

Civil courts barred where jurisdiction is vested with NCLT – Supreme Court

The Supreme Court held that civil courts cannot entertain matters where adjudicatory powers have been specifically conferred upon the National Company Law Tribunal.

The Court reaffirmed the exclusive jurisdiction framework under company law legislation.

The Order can be accessed at:
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Mr Ashish Garodia v. Impact Event Management & Anr

Insolvency proceedings may be closed upon settlement before CoC constitution – NCLAT

The NCLAT directed closure of insolvency proceedings after parties reached settlement before constitution of the Committee of Creditors.

The Tribunal also observed existence of pre-existing disputes making the Section 9 application itself inadmissible.

The Order can be accessed at:
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Canara Bank v. IVRCL Limited

Loans converted into equity cannot later be treated as debt – NCLT

The National Company Law Tribunal ruled that loans converted into equity before commencement of insolvency proceedings lose their character as financial debt.

The Tribunal clarified treatment of converted financial instruments during insolvency resolution.

The Order can be accessed at:
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Committee of Creditors of Xalta Food and Beverages Pvt. Ltd v. Ms Prerna Singh

Landlords cannot adjust security deposits during moratorium – NCLAT

The National Company Law Appellate Tribunal held that landlords cannot adjust security deposits or independently negotiate payments during moratorium under the Insolvency and Bankruptcy Code.

The Tribunal directed payment of monthly rent in accordance with insolvency proceedings.

The Order can be accessed at:
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COMPETITION

Google Android Abuse Investigation Matter

CCI investigates allegations of abuse of dominance by Google Android

The Competition Commission of India examined allegations that Google abused dominance through Android by compelling manufacturers to pre-install Google applications and services.

The investigation followed similar findings earlier made by the European Commission.

Restaurant Owners v. Food Delivery Platforms

Restaurants approach CCI alleging anti-competitive practices by food delivery apps

Restaurant owners filed petitions before the Competition Commission of India alleging misuse of dominant position by Swiggy, Zomato, UberEATS and Foodpanda.

The complaints focused on deep discounting and unfair business practices affecting restaurants.

Johnson Controls Power Solutions Acquisition Matter

CCI approves Brookfield and CDPQ acquisition deal

The Competition Commission of India approved the multi-billion dollar acquisition of Johnson Controls’ power solutions business by Brookfield and CDPQ.

The transaction involved acquisition of global automotive battery operations.

INFORMATION TECHNOLOGY

People’s Union for Civil Liberties v. Union of India & Ors

Supreme Court directs wider circulation of Shreya Singhal judgment striking down Section 66A

The Supreme Court directed all State Governments and District Courts to circulate copies of the Shreya Singhal judgment after concerns were raised regarding continued misuse of Section 66A of the IT Act.

The Court emphasized the need for awareness among police authorities and judicial officers.

The Order can be accessed at:
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Subhendu Nath v. State of West Bengal

Calcutta High Court issues directives for better cyber-crime investigations

The Calcutta High Court issued directions emphasizing the need for proper training of police officers in handling electronic evidence and cyber-crime investigations.

The Court observed deficiencies in application of Information Technology Act provisions during investigation.

The Order can be accessed at:
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Veewon Thokchom Sedition Facebook Post Matter

Imphal Court holds Facebook criticism not seditious

The Chief Judicial Magistrate, Imphal East refused police custody of a student leader booked for sedition over a Facebook post critical of the Citizenship Amendment Bill.

The Court observed that the post did not amount to incitement of violence or hatred against the Government.

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