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Law Web: Supreme Court: Allegations Of Fraud are Arbitrable When They Relate To Civil Dispute

Supreme Court: Allegations Of Fraud are Arbitrable When They Relate To Civil Dispute  A recent judgment of this Court in Avitel Post Studioz Limited and Ors. v. HSBC PI Holdings (Mauritius) Limited18 has examined the law on invocation of fraud exception in great detail and holds that N. Radhakrishnan as a precedent has no legs to stand on. We respectfully concur with the said view and also the observations made in paragraph 14 of the judgment in Avitel Post Studioz Limited, which quotes observations in Rashid Raza v. Sadaf Akhthar MANU/SC/1249/2019 : (2019) 8 SCC 710: 4. The principles of law laid down in this appeal make a distinction between serious allegations of forgery/fabrication in support of the plea of fraud as opposed to simple allegations . Two working tests laid down in para 25 are: (1) does this plea permeate the entire contract and above all, the agreement of arbitration, rendering it void, or (2) whether the allegations of fraud touch upon the internal affairs

Vidya Drolia vs Durga Trading Corporation on 14 December, 2020

Vidya Drolia vs Durga Trading Corporation on 14 December, 2020
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The Unconditional Stay Ordinance - Litigation, Mediation & Arbitration

To print this article, all you need is to be registered or login on Mondaq.com. On November 04, 2020, the President of India promulgated the Arbitration and Conciliation (Amendment) Ordinance, 2020 ( Ordinance ). The Ordinance was promulgated to ensure that all parties get an opportunity to seek unconditional stay of enforcement of arbitral awards where the underlying arbitration agreement or contract or making of the arbitral award are induced by fraud or corruption 1. Prior to the Ordinance, under Section 36 (3) of the Arbitration and Conciliation Act, 1996 ( Act ) a party could file an application seeking a stay of the arbitral award when challenging the arbitral award under Section 34 of the

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