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When Parties Change 'Venue Of Arbitration' , Changed Venue Becomes 'Seat Of Arbitration' : Supreme Court


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The Supreme Court has held that when parties change the 'venue/place of arbitration' by mutual agreement, the new venue/place will become the 'seat of the arbitration'.
Therefore, the Courts at the changed venue/place of arbitration will be having jurisdiction over the arbitral proceedings.
A bench comprising
Justices Rohinton Fali Nariman and Hrishikesh Roy gave this significant ruling in the case
M/s Inox Renewables Ltd v Jayesh Electricals Ltd. The bench followed the precedent in
BGS SGS Soma JV vs NHPC Ltd, which held that the venue of arbitration will be the juridical seat of arbitration in the absence of contrary intention of the parties.

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