The Supreme Court has confirmed an arbitral award directing BPL to pay 36% annual interest with monthly compounding, ruling that parties are bound by the contract they sign. The Court said high interest in commercial deals is not “unconscionable” when agreed between equal parties.
The Supreme Court ruled that government entities cannot include clauses for unilateral arbitrator appointments in public-private contracts, as these violate Article 14 of the Constitution, undermining fairness. The decision, led by Chief Justice DY Chandrachud, applies to three-member arbitration panels, emphasizing equal treatment and impartiality in the arbitration process.
Today, On 15th September, Justice Surya Kant emphasized the importance of the Permanent Court of Arbitration for fostering unity and trust amid global divisions during the two-day Conference on International Arbitration and the Rule of Law. He highlighted the court’s continued relevance and India’s commitment to promoting international commercial arbitration. Other speakers discussed the growing prominence of international arbitration and India’s appeal as a top choice for arbitration.
Today, On 10th July, The Society of Indian Law Firms (SILF) has urged the Bar Council of India (BCI) to recognize Indian General Counsel (GCs) as legal advisers and grant them attorney-client privilege. They also advocated for GCs to be included in the list of eminent mediators and arbitrators. SILF emphasized the evolving role and global trends of GCs, seeking clarity and accountability.
Solicitor General Tushar Mehta highlighted the significance of the rule of law in Indian arbitration during the London International Disputes Week. He emphasized the robust framework of the Arbitration Act and the availability of constitutional remedies for rights violations. The discussion also featured insights on the newly established Arbitration Bar of India, aiming to integrate international best practices into Indian arbitration.