Union of India and others Vs Yashpal Choptra & Co. (Orissa High Court)
Arbitration Appeal Maintainable Because Section 34 Challenge Was Thrown Out Without Merits Adjudication; Section 42 Cannot Confer Appellate Jurisdiction on High Court Without Original Civil Jurisdiction; Orissa HC Restores Arbitration Challenge Because District Judge Wrongly Declined Jurisdiction; Appeal Under Section 37 Maintainable When Court Refuses to Examine Arbitration Challenge; Orissa HC Distinguishes Section 8 and Limitation Cases While Allowing Arbitration Appeal; Section 34 Petition Filed Within Limitation Cannot Be Rejected Solely Due to Arbitrator’s Appointment by High Court; District Judge Must Decide Arbitration Award Challenge on Merits.
The appeal before the Orissa High Court concerned the maintainability of an appeal arising from rejection of a challenge to an arbitral award under Section 34 of the Arbitration and Conciliation Act, 1996.
The appellants contended that the impugned judgment dated 9 May 2012 was liable to be interfered with. It was submitted that although the arbitrator had been appointed under Section 11(6) of the Arbitration and Conciliation Act, the appellants had challenged the appointment by invoking Section 16 before the arbitral tribunal. After failing in that challenge, the appellants contested the claims before the arbitrator, following which an arbitral award dated 17 February 2010 was passed.
