Landmark Case that will Shape, the Future of IBC, Arbitration Act, CPC, and Limitation Act
Short summary on;
- Whether the period spent in pursuing proceedings under the IBC is liable to be excluded while computing the limitation period for filing the application under Section 11(6) of Arbitration and Conciliation Act, 1996?
- Whether the principles contained in Order 23 Rule 1 of the CPC will apply to an application under Section 11(6)?
- Whether the benefit of Section 5 and 14 of the Limitation Act is available in respect of an application for appointment of arbitrator under Section 11(6) of the Arbitration Act? –
One landmark judgment is delivered on November 7, 2024 by Supreme Court which would enable lawyers like me to better understand and interpret the provision of Arbitration Act and Civil Procedure Code and Insolvency, Bankrupcy Code 2016 . I would like to share this judgment to all my colleagues, juniors and clients. I loved the interpretation and indepth study of Honourable Judges which made me to think that I need to learn a lot from them and “so little done, so much to do ahead in advocacy”.
Summary of case:
IN THE SUPREME COURT OF INDIA
HPCL Bio-Fuels Ltd.
v/s
Shahaji Bhanudas Bhad
Civil Appeal No. 12233 of 2024 (Arising out of SLP (C) No. 5589 of 2024) Decided on 07-Nov-24
Dr. Dhananjaya Y. Chandrachud (CJI) and Mr. Justice J. B. Pardiwala
Key law points involved.
- Whether a fresh application under Section 11(6) of the Arbitration and Conciliation Act, 1996 filed by the Respondent could be said to be maintainable more particularly when no liberty to file a fresh application was granted by the High Court at the time of withdrawal of the first application under Section 11(6) of the Act, 1996?
- Whether the fresh application under Section 11(6) of the act, 1996 filed by the Respondent on 09.12.2022 could be said to be time-barred? If yes, whether the Respondent is entitled to the benefit of section 14 of the Limitation Act? In other words, whether the period spent by the Respondent in pursuing proceedings under the IBC is liable to be excluded while computing the limitation period for filing the application under Section 11(6)?
- Whether the delay caused by the Respondent in filing the fresh arbitration application under Section 11(6) of the Act, 1996 can be condoned under section 5 of the Limitation Act?
