MSME Act 2006 – Works Contract – Reference to Arbitration

As per the contract with the Petitioner, the respondent no.2 was to supply Black Stone Granite as per the approved sample and various sizes at National Police Memorial, Chanakyapuri.  The dispute between the parties was referred by MSME Facilitation Council to arbitration.

This was challenged in the writ petition on the ground that the “works contract” is outside the purview of MSMED Act.  It was contended that the nature of work shows that it is not only supply of Granite but also involves certain amount of works to be done.

HELD that in the facts and circumstances of the case, it is found that it is a mixed  question of law and fact and therefore, the Writ Petition is not inclined to venture in the arena of facts.

Order dated 17.5.2024 in W.P.(Civil) No.3207 of 2023 in NBCC (India) Ltd Vs. Micro and Small Enterprises Facilitation Council