Arbitration Clause in Contract Not an Absolute Bar to Availing Remedies Under Article 226

Unitech Limited &  Ors. Vs Telangana State Industrial Infrastructure Corporation (TSIIC) & Ors. (Supreme Court)

Article 23.1 of the Development Agreement in the present case mandates the parties to resolve their disputes through an arbitration. However, the presence of an arbitration clause within a contract between a state instrumentality and a private party has not acted as an absolute bar to availing remedies under Article 226.11 If the state instrumentality violates its constitutional mandate under Article 14 to

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