NHPC LTD Vs. JAIPARKASH ASSOCIATES LTD AND ORS

JUDGEMENT

(1.) A common question for determination has arisen in all these Appeals arising out of similar orders passed by the Special Commercial Court at Gurugram, whereby the separate Applications Under Section 34 of the Arbitration and Conciliation Act, 1996 (for short "the Act") filed on behalf of the Appellant were ordered to be returned in view of the objections/contentions raised on behalf of Respondents challenging the territorial jurisdiction of the said Court to entertain those applications.

(2.) For the sake of convenience and brevity, the factual background is being extracted from FAO-COM No.1 of 2018. The Appellant-Corporation had awarded Contracts in favour of the respective Sets of Respondents for completion of certain Projects to be accomplished in some of the NorthEastern States of the Country. However, the disputes arose between the parties on account of which, the Arbitration was invoked in pursuance of the relevant Clause No.67 of the Agreement, in which it was stipulated as follows -

(3.) The parties nominated their respective Arbitrators, who in turn jointly appointed the Presiding Arbitrator to arbitrate upon the disputes. The final Award after completion of the Arbitration Proceedings was passed on 5.2013, after which the Appellant filed its Objections against the same Under Section 34 of the Act before the Civil Court at Faridabad. Those objection petitions were later on transferred to the Special Commercial Court, Gurugram on it being constituted under the Commercial Courts (Commercial Division and Commercial Appellate Division of High Courts) Act, 2015. It was resisted on behalf of the Respondent by way of filing of an application U/S 2 (1) (e) (i) of the Act challenging jurisdiction of the Civil/Commercial Court, Haryana to entertain the objections, which after hearing was allowed by the said Court, by holding that it had no territorial jurisdiction to entertain the proceedings, and therefore, directed return of the objections to the Appellant in following the provisions of Order VII Rules 10/11 of the Code of Civil Procedure for being presented to the Court of Competent Jurisdiction at Delhi.