The Delhi High Court emphasised that briefing counsel and instructing law firms must ensure cited judgments are valid and not under appeal or review, stressing that misleading the court undermines fairness and judicial integrity.
The Delhi High Court has annulled an arbitral award against Oravel Stays (OYO) in a dispute with Zostel over a 2015 acquisition deal. The ruling highlights the necessity for formal agreements in business transactions, emphasizing that non-binding term sheets may not ensure enforceability in legal proceedings. Final order details are pending.
Justice KV Viswanathan of the Supreme Court dissented, stating that courts lack the authority to modify arbitral awards under Sections 34 and 37 of the Arbitration and Conciliation Act. He emphasized that Article 142 cannot supplant substantive law, opposing the majority view that allowed for limited modifications, warning of potential complications in international enforcement.
The Supreme Court has provided clarity on identifying the law applicable to arbitration agreements. The ruling addresses conflicts arising from multiple arbitration clauses in international commercial contracts governed by Indian law. It establishes guidelines for resolving such disputes effectively. This decision strengthens the legal framework for arbitration in cross-border agreements.