Interim Relief U/S 9 Of Arbitration Act Must Be Sought With 'Reasonable Expedition': Bombay High Court

The Bombay High Court bench of Justice A. S. Chandurkar and Justice Rajesh Patil have held that an applicant under Section 9 of the Arbitration and Conciliation Act, 1996 (“the Act”) must approach the court with reasonable expedition. Delay of several years without adequate explanation is a material factor that militates against the grant of such relief. The court observed that relief under Section 9 of the Act is discretionary and must be guided by the settled principles of interim...

Acquiescence To Termination Notice Of Agreement Bars Interim Relief U/S 9 Of Arbitration Act: Bombay High Court

The Bombay High Court bench of Chief Justice Alok Aradhe and Justice M.S. Karnik has held that when a party is aware of a termination notice issued by the other party and conducts itself on the assumption that the termination has taken effect, it cannot later seek interim relief under Section 9 of the Arbitration and Conciliation Act, 1996 (Arbitration Act) on the ground that the other party is proceeding to assign the subject matter of the contract to a third party and should therefore be...

Bombay High Court Refuses To Lift Stay On Release Of Film 'Shaadi Ke Director Karan Aur Johar'

The Bombay High Court on Wednesday upheld a March 7, 2025 judgment of a single-judge, who refused to lift the stay on the release of the film 'Shaadi Ke Director Karan Aur Johar' which was imposed in June 2024 after noting that the same infringes the personality rights of Bollywood film director and producer Karan Johar. A division bench of Chief Justice Alok Aradhe and Justice Makarand Karnik heard the appeal filed by the makers of the film in question, who challenged Justice Riyaz...

Routing Of Funds Through Tax Havens Not Disclosed During Original Proceedings: Bombay HC Confirms Reassessment

Finding that the Petitioner had failed to disclose all material facts necessary for assessment of tax, the Bombay High Court ruled that the circuitous movement of funds through various companies located in tax havens had not been disclosed in the course of the original proceedings.The High Court therefore confirmed the reopening proceedings initiated against the petitioner.A division bench of Justice Jitendra Jain and Justice M.S Sonak observed that “if based on subsequent...

Arbitrator Cannot Be Substituted U/S 29A(6) Of A&C Act Unless Grounds Mentioned U/S 14 & 15 Are Satisfied: Bombay High Court

The Bombay High Court bench of Justice Somasekhar Sundaresan has held that even though the term "substitution" is mentioned under Section 29-A(6) of the Arbitration and Conciliation Act, 1996 (Arbitration Act), an arbitrator cannot be substituted in an application under this section unless the grounds specified in Sections 14 and 15 of the Arbitration Act are satisfied, which outline the conditions under which an arbitrator may be substituted. Brief Facts: These Petitions have been...

Bombay HC Dismisses Appeal Against Order U/S 9 Of Arbitration Act Injuncting Owner Of Kapani Resorts From Disposing Of Interest In Properties

The Bombay High Court bench of Chief Justice Alok Aradhe And Justice M. S. Karnik has upheld the order passed by the Single Judge under Section 9 of the Arbitration and Conciliation Act, 1996 (Arbitration Act), injuncting the owner of the Kailash property and Kapani Resorts from alienating or disposing of any interest in the properties until the completion of the arbitral proceedings. Brief Facts: The present appeal under Section 37 of the Arbitration Act has been filed against an...

Deletion Of Names Through Chamber Summons Does Not Render Appeal U/S 50(1)(B) Of A&C Act As Not Maintainable: Bombay High Court

The Bombay High Court bench of Justices A.S. Chandurkar and M.M. Sathaye has observed that when a common arbitration petition seeking recognition, enforcement and execution of a foreign award is declined against all the respondents, the mere fact that some respondents had successfully filed chamber summons seeking deletion of their names would not render the appeal filed under Section 50(1)(b) of the Arbitration and Conciliation Act, 1996 as not maintainable. Facts The present...

Unilateral Option To Terminate Arbitration Agreement Does Not Render It Illegal: Bombay High Court

The Bombay High Court Bench of Justice Somasekhar Sundaresan while disposing an application for appointment of arbitrator has observed that an arbitration clause which gives option to only one party to opt out of the arbitration agreement is not invalid per se. Such arbitration agreement can be saved by eliminating the unilateral option or by making such right bilateral. Facts The present applications have been filed under Section 11 of the Arbitration and Conciliation Act, 1996...

Amalgamated Company Can Adjust Written Down Assets Of Constituent Companies & Claim Depreciation Without Central Govt Approval: Bombay HC

The Bombay High Court stated that amalgamated company can adjust written down of assets of amalgamating companies and claim depreciation without central government's approval. The Division Bench of Chief Justice Alok Aradhe and Justice M.S. Karnik stated that “The Tribunal was not justified in law in holding that in view of insertion of Section 72A in the Income Tax Act, 1961, the assessee (being the amalgamated company) not having obtained approval of the Central Government was not...

Objections To Terms Of Redevelopment Agreement Can't Be Adjudicated By Court U/S 9 Of Arbitration Act: Bombay HC

The Bombay High Court bench of Justice Somasekhar Sundaresan has held that objections related to the terms of the redevelopment agreement raised by members of the society can be decided only by the appropriate forum having jurisdiction over such issues. These matters cannot be adjudicated under section 9 of the Arbitration and Conciliation Act, 1996 (Arbitration Act). Brief Facts: This Petition has been filed under Section 9 of the Arbitration Act in relation to a Development...

Unless Serious Allegations Of Fraud Are Established, Parties Cannot Be Denied Reference To Arbitration U/S 8 Of A&C Act: Bombay HC

The Bombay High Court bench of Justice N. J. Jamadar has held that the dispute cannot be refused referral to arbitration under Section 8 of the Arbitration and Conciliation Act, 1996 (Arbitration Act) based solely on mere allegations of fraud simpliciter, unless serious allegations of fraud that go to the root of the partnership deed containing the arbitration clause are established. Brief Facts: The Petitioner-Defendant No.2, Respondent No.3-Defendant No.3 and Narayan Tiwari, the...

Statutory Protection Under Maharashtra Rent Control Act Can't Be Circumvented By Invoking Arbitration Petition To Seek 'Speedy Eviction': High Court

The Bombay High Court bench of Justice Somasekhar Sundaresan has held that the jurisdiction under Section 9 of the Arbitration and Conciliation Act, 1996 (“the Act”) cannot be invoked to circumvent the statutory protection afforded to tenants under the Maharashtra Rent Control Act, 1999 (“Rent Act”). Interim measures under Section 9 must aid arbitral proceedings and cannot override or conflict with special statutory mechanisms under the Rent Act for eviction and redevelopment. The Court ...