Decision by General Manager on notified claims not subjected to arbitration proceeding

Indian Oil Corporation Limited Vs NCC Limited (Supreme Court of India)

Held that once such a dispute falls within the ‘excepted matters’, any decision by the General Manager on the issue of Notified Claims cannot be the subject matter of arbitration proceeding.

Facts-

IOCL (appellant) floated a tender to NCCL. Post some conflict, NCCL invoked the arbitration clause contained in the Agreement. The IOCL, in accordance with Clause 9.0.2.0 referred the matter regarding arbitrability of NCCL’s claims to the General Manager.

The General Manager held that the claims cannot be referred to arbitration and that the Arbitration Agreement itself does not survive on account of NCCL withdrawing its Notified Claims. The General Manager held that therefore there exist no dispute to be referred to arbitration.

Please become a Premium member. If you are already a Premium member, login here to access the full content.