Notice Delivery Flaw Doesn’t Invalidate Appointment of Arbitrator Order When Applicant Knew of Previous Sittings | HC

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  • Last Updated on 2 September, 2023

incorrect service of notice

Case Details: Swiss Singapore India (P.) Ltd. v. Belseri Tea Co. (India) (P.) Ltd. - [2023] 153 taxmann.com 193 (HC-Calcutta)

Judiciary and Counsel Details

    • Sabyasachi Bhattacharyya, J.
    • Reetobroto MitraMs Debolina Dey, Advs. for the Applicant.
    • Rajiv Lall, Adv. for the Respondent.

Facts of the Case

In the instant case, the Applicant Company and respondent entered into a share purchase agreement. Later, an arbitration clause was invoked between the parties and an application under section 11 of the Arbitration and Conciliation Act, 1996 was filed by the respondent.

An order was passed and proceedings under section 11 were disposed of by appointing an arbitrator to resolve the dispute between parties. It was recorded in the said order that in spite of the service of notice, the applicant had not entered an appearance.

The applicant filed an instant application to recall the said order submitting that notice of application under section 11 was served at the wrong addresses as the respondent failed to undertake a reasonable inquiry, which would have revealed a change of address of the applicant’s company.

It was found that there was no occasion for the respondent to make such enquiry, having no reason to apprehend such alteration of the address of the applicant company and Arbitrator held several sittings of which the applicant was well aware.

High Court Held

The High Court held that in the absence of any palpable error apparent on the face of said order, there was no occasion to recall the same and the order appointing an arbitrator was to be affirmed.

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