Arbitration Law
Mode of Citation- ILC-2015-SC-ARB-....
Get started with Indian Law Cases
Your password will be generated automatically and will be sent to your email-id provided in this form.
Full Name
Email ID
(this email-id will be treated as your User ID also)
Address
City
Mobile No
* Mobile No is required for verification of identity
 Bare Acts  | Legal Resources  | Lawyer Locater  | Articles  | Legal Dictionary  | Download Ticker  | Subscription  | Latest Judgement   Home   |   E-Journal  |  Sign-In  | Contact Us  | Disclaimers

Arbitration Law
 Search Tips
Arbitration Law
Mode of Citation- ILC-2015-SC-ARB-....
Judgement Subject Index/Important Decision/Topic

ILC-2011-SC-ARB-Oct-1

Phulchand Exports Ltd. Vs. OOO Patriot

Head Note

The Arbitration and Conciliation Act, 1996  - Section 48

Public Policy of India - Enforcement of award - Contract - The buyer lodged claim against the sellers for recovery of amount before arbitral tribunal - The arbitral Tribunal, therefore split the amount of losses between the parties-buyers and sellers in equal parts and passed award - Buyers filed arbitration before High Court petition for enforcement - The sellers contended that award was contrary to the principles of public policy and, therefore, the award was unenforceable - The Single Judge held that the award could be enforced as a decree of the Court - The sellers preferred appeal before the Division Bench - Appeal filed in Supreme Court - Appellant submitted that the stipulation in clause 4, "in case the goods don't arrive the customs area of Russian Federation within 180 days from the date of payment the transferred amount is to be reimbursed to the Buyers' account" amounts to penalty within the meaning of Section 74 of the Contract Act, 1872 and being unconscionable bargain is void under Section 23 of the 1872 Act and, therefore, enforcement of the subject award by the Indian Courts is contrary to 'public policy of India' - The Arbitral Tribunal has only awarded reimbursement of half the price paid by the buyers to the sellers and, therefore, the award cannot be held to be unjust, unreasonable or unconscionable or contrary to the public policy of India - No merit in appeal and it is demised.

Topic(s)-







Full Judgement Body


@2014 Indian Law

Our Ventures
Name
Email ID
Please Wait..