2013 (2) ADR 36 ::(2013) 199 DLT 397 ::(2013) 137 FacLR 278 ::(2014) 1 ServLJ 372 ::AIR 2013 (NOC) (SUPP) 848 (DEL.)

Delhi High Court

Hon'ble Judge(s): Manmohan Singh , J

(A) Arbitration and Conciliation Act (26 of 1996) S. 37 (2) (a), 16 (2), (3) — Appeal — Is maintainable against orders accepting plea of lack of jurisdiction of Arbitral Tribunal as per Section 16 (2) or in alternative against acceptance of plea that Tribunal is exceeding scope of its authority {" A plea that the Arbitral Tribunal does not have jurisdiction shall be raised not later than the submission of the statement of defence. It means that either the plea regarding the lack of jurisdiction can be raised separately or in the alternative can be raised along with the filing of the statement of the defence. But, the said plea should be raised not later than the submission of the statement of defence. Thus, there is no requirement as such upon the plain reading of Section 16 (2) of the Act to raise the plea of the lack of jurisdiction separately. "}

(B) Arbitration and Conciliation Act (26 of 1996) S. 16 — Jurisdiction of Arbitral Tribunal — Plea as to lack of jurisdiction — For raising plea it is not necessary that wordings ' lack of jurisdiction— must be used — If plea taken in statement of defence is of nature which raises a question that agreement prescribes a mode and manner in which claims are to be considered as arbitrable and beyond same claims are not to be considered by tribunal or shall be treated as barred— Is sufficient objection going into root of matter affecting jurisdiction of Tribunal to consider and adjudicate said claim though word ' jurisdiction— may not be used specifically in said plea {" The plea that the Arbitral Tribunal ' œdoes not have jurisdiction' ‌ as provided under Section 16 (2) of the Act has to be given meaning of widest amplitude and cannot be considered in a narrow sense. The objection lack of jurisdiction or does not have jurisdiction is not merely confined to lack of jurisdiction which is ordinarily understood in the civil law which is but ofcourse included the same. Additionally, the said wordings plea of does not having jurisdiction have to be considered in the context of authority of the arbitrator to entertain the dispute and to rule on his jurisdiction. The said wordings plea of does not have jurisdiction have immediate nexus with the law providing and enabling the arbitrator to rule on its jurisdiction as provided u....