Content Provider | Supreme Court of India |
---|---|
e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | s. 11 FIR arbitrability Arbitration and Conciliation Act Partnership dispute partners alleging siphoning of funds Appointment of arbitrator 1996 |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Act(s) Referred | Arbitration and Conciliation Act, 1996 (26 of 1996) |
Case(s) Referred | Referred Case 0 |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Disposed Off |
Headnote | Arbitration and Conciliation Act, 1996: s. 11 – Appointment of arbitrator – Partnership deed between the parties – Partnership dispute – FIR by one of the partners alleging siphoning of funds and various business improprieties – Application u/s. 11 for appointment of arbitrator under the arbitration clause – Dismissal of the application – On appeal, held: There is distinction between serious allegations of forgery/fabrication in support of the plea of fraud as opposed to “simple allegations” – Two working tests are whether the plea permeate the entire contract and above all, the agreement of arbitration, rendering it void, or whether the allegations of fraud touch upon the internal affairs of the parties inter se having no implication in the public domain – In view thereof, in the instant case there are simple allegations since there is no allegation of fraud which would vitiate the partnership deed as a whole or, in particular, the arbitration clause concerned in the said deed – All the allegations pertain to the affairs of the partnership and siphoning of funds therefrom and not to any matter in the public domain – Thus, the disputes raised between the parties are arbitrable and, hence, s. 11 application is maintainable. |
Judge | Hon'ble Mr. Justice R.F. Nariman |
Neutral Citation | 2019 INSC 1002 |
Petitioner | Rashid Raza |
Respondent | Sadaf Akhtar |
SCR | [2019] 12 S.C.R. 460 |
Judgement Date | 2019-09-04 |
Case Number | 7005 |
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