Home Case Index All Cases Companies Law Companies Law + Board Companies Law - 2016 (7) TMI Board This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2016 (7) TMI 853 - Board - Companies LawOppression V/S Arbitration - Whether the subject matter in this CP falls within the ambit of jurisdiction u/s 397, 398 r/w 402 & 403 or within the ambit of arbitration clause constituted in the SSHA arrived at between the parties - Held that:- The only persons, not parties to the Arbitration clause are R4-8 and Performa R9-13. R4 to R8 are nominee directors on behalf of R2, therefore, R2 being a party to the proceedings, it makes no difference whether R4 to R8 are or arc not parties to the agreement. They arc in fact the persons representing the cause and interest of R2, R4 to R8 not being parties to the agreement will have no bearing in invoking arbitration clause, they being shown as Performa respondents, they are not even necessary and proper parties for adjudication of this CP itself, then how does it make sense to say that they not being parties to the SSHA, it can't be referred to arbitration. Moreover, reference under section 45 of 1996 Act is neither governed by CPC nor is governed by part I of 1996 Act. Therefore, this Bench has not found any merit in lite contention of the petitioners. This Bench having opined that there is no oppression to invoke jurisdiction u/s 397/398, and this Bench being of the opinion that if at all the petitioners are aggrieved of breach or violation of the terms of the agreement, the petitioners have go before arbitration.
|