Section 9 of the Arbitration Act – Application to foreign seated arbitrations
The disputes between the parties arise out of the share holder’s agreement dated 12.5.2017 which contained the clause provided for arbitration at Singapore.
The First Award was passed on 1.6.2023. On 1.9.2023, the Cost Award was passed. On 14.3.2024, the Emergency Arbitrator directed the respondent nos.1 to 3 to furnish irrevocable bank guarantee of Rs.145 crores.
The Petitioners have claimed interim relief by way of security deposit of Rs.145 crores as per the valuation report or to furnish irrevocable bank guarantee for the said sum, pending hearing and final disposal of the arbitration proceedings and the enforcement of the arbitral award and other interim reliefs.
The respondents objected to the maintainability of section 9 petition on the ground that it is not applicable to the international commercial arbitrations and the arbitration place at Singapore.
HELD that there must be specific Agreement between parties to oust jurisdiction of the High Court to grant relief under Section 9 of the Arbitration Act. The interim reliefs to furnish irrevocable bank guarantee of Rs.145 crores, interim injunction and to disclose the assets were granted.
Judgment 8.10.2024 of the Bombay High Court (OS) Commercial Arbitration Petition (L) No.25579 of 2024 of Ashok Kumar Goel and another Vs. EbixCash Limited and others
