Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | 1996: s. 11(6) Arbitration and Conciliation Act |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case(s) Referred | Referred Case 0 Referred Case 1 Referred Case 2 Referred Case 3 Referred Case 4 |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Allowed |
Headnote | Arbitration and Conciliation Act, 1996: s. 11(6) – Appointment of arbitrator – Novation of contract – Effect of – Appellant entered into a share purchase agreement (SPA) with respondent No.1 as also respondent Nos. 2 and 3 (promoters of respondent No.1) to buy the power project of respondent No.1 – Respondent Nos. 2 and 3 agreed to sell 100% ownership of respondent No. 1 and appellant agreed to purchase 100% Equity and Preference Shares of respondent no. 1 by taking over the loans of respondent No. 1 and paying the balance amount to sellers-respondent Nos. 2 and 3 – Thereafter, a tripartite agreement entered into by the appellant through its affiliate-respondent No. 4 with respondent no. 2 and 3 – Tripartite Agreement recorded execution of SPA and payment made to respondent Nos. 2 and 3 in terms of the SPA – An addendum to SPA also signed whereby respondent No. 4 agreed to remit certain amounts to respondent Nos. 1 to 3 to regularise the loan and facilitate the transfer of the project company – However, disputes arose between the parties – In terms with the arbitration clause under the SPA, application s.11(6)by the appellant for appointment of an arbitrator – High Court dismissed the application on the ground of novation of contract between the parties – On appeal, held: High Court not right in dismissing the petition u/s. 11(6) by giving a finding on novation of the Share Purchase Agreement between the parties as the said aspect would have a bearing on the merits of the controversy between the parties – Thus, it must be left to the arbitrator to decide on the said issue also – Impugned judgment and order passed by the High Court quashed and set aside – Former judge of the Supreme Court of India appointed as sole arbitrator to adjudicate the disputes between the parties. |
Judge | Hon'ble Ms. Justice B.V. Nagarathna |
Neutral Citation | 2022 INSC 1223 |
Petitioner | M/s. Meenakshi Solar Power Pvt. Ltd. |
Respondent | M/s. Abhyudaya Green Economic Zones Pvt. Ltd. And Ors. |
SCR | [2022] 8 S.C.R. 756 |
Judgement Date | 2022-11-23 |
Case Number | 8818 |
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