Bombay High Court Dismisses Review Petition with Costs in Arbitration Appointment Case. Review Petition Found Misconceived, Mischievous, and Vexatious Under Commercial Courts Act, 2015.

High Court: Bombay High Court Bench: BOMBAY
  • 1
Judgement Image
Font size:
Print

Case Note & Summary

The Bombay High Court dismissed a Review Petition filed by Priyanka Communications (India) Pvt Ltd and others (the Agarwals) against an order appointing an arbitrator under Section 11(6) of the Arbitration and Conciliation Act, 1996. The court found the review petition to be thoroughly misconceived, deliberately mischievous, and vexatious, noting that it wasted court time and fell within the categories of frivolous claims and vexatious proceedings deprecated by the Commercial Courts Act, 2015. The court held that the review petition did not disclose any error apparent on the face of the record or any other ground for review under Order 47 Rule 1 of the CPC. Consequently, the petition was dismissed with costs, emphasizing that no litigant is entitled to waste court time and that such conduct invites costs under the Commercial Courts Act.

Headnote

A) Civil Procedure - Review Petition - Grounds for Review - Order 47 Rule 1 CPC - The court held that a review petition is not an appeal in disguise and must be confined to errors apparent on the face of the record, discovery of new evidence, or any other sufficient reason. The petition failed to meet these criteria and was dismissed as frivolous and vexatious. (Paras 2-3)

B) Commercial Law - Frivolous and Vexatious Proceedings - Costs - Section 35A CPC, Section 16 CCA - The court observed that the review petition was deliberately mischievous and wasted court time, warranting imposition of costs under the Commercial Courts Act, 2015. The court emphasized that no litigant is entitled to waste court time, and such conduct invites costs. (Paras 2, 3)

C) Arbitration - Appointment of Arbitrator - Section 11(6) Arbitration Act - The original petition under Section 11(6) of the Arbitration and Conciliation Act, 1996 sought appointment of an arbitrator. The review petition challenged the order appointing an arbitrator, but the court found no grounds for review. (Paras 1, 2)

Subscribe to unlock Headnote Subscribe Now

Issue of Consideration

Whether the Review Petition discloses any error apparent on the face of the record or any other ground for review under Order 47 Rule 1 of the CPC

Subscribe to unlock Issue of Consideration Subscribe Now

Final Decision

Review Petition dismissed with costs.

Law Points

  • Review jurisdiction is limited
  • not an appeal
  • frivolous and vexatious proceedings invite costs under Commercial Courts Act
  • 2015
  • no error apparent on record or new evidence found
Subscribe to unlock Law Points Subscribe Now

Case Details

2021 LawText (BOM) (08) 61

Review Petition (L) No. 15868 of 2021 in Comm Arbitration Petition No. 434 of 2021

2021-08-04

G.S. Patel, J.

Mr Premlal Krishnan with Dinesh Bhate, i/b Pan India Legal Services LLP for Petitioners; Dr Birendra Saraf, Senior Advocate with Mr Rohan Savant, Mr Sachin Chandarana & Mr Chandrajit Das, i/b M/s Manilal Kher Ambalal & Co for Respondent

Priyanka Communications (India) Pvt Ltd & Ors

Tata Capital Financial Services Ltd

Subscribe to unlock Case Details (Citation, Judge, Date & more) Subscribe Now

Nature of Litigation

Review Petition against an order appointing an arbitrator under Section 11(6) of the Arbitration and Conciliation Act, 1996

Remedy Sought

Review of the order dated 4th August 2021 in Comm Arbitration Petition No. 434 of 2021

Filing Reason

The petitioners claimed that the order suffered from errors apparent on the face of the record

Previous Decisions

An arbitrator was appointed by the court in Comm Arbitration Petition No. 434 of 2021

Issues

Whether the Review Petition discloses any error apparent on the face of the record or any other ground for review under Order 47 Rule 1 of the CPC

Submissions/Arguments

Mr Krishnan argued for the petitioners that the order appointing an arbitrator was erroneous and required review. Dr Saraf for the respondent submitted that the review petition was frivolous and vexatious, and that no grounds for review existed.

Ratio Decidendi

A review petition is not an appeal in disguise and must be confined to errors apparent on the face of the record, discovery of new evidence, or any other sufficient reason. The petition failed to meet these criteria and was dismissed as frivolous and vexatious, with costs imposed under the Commercial Courts Act, 2015.

Judgment Excerpts

In my view, this Review Petition is not only thoroughly misconceived but is also deliberately mischievous, and quite possibly vexatious. The law on the power of review is now far too well-settled to warrant any larger discussion.

Procedural History

The original petition under Section 11(6) of the Arbitration and Conciliation Act, 1996 was filed by Tata Capital Financial Services Ltd for appointment of an arbitrator. The court appointed an arbitrator. The respondents (now review petitioners) filed a Review Petition challenging that order. The Review Petition was heard and dismissed with costs on 4th August 2021.

Acts & Sections

  • Commercial Courts Act, 2015: Section 16
  • Code of Civil Procedure, 1908: Order 47 Rule 1, Section 35A
  • Arbitration and Conciliation Act, 1996: Section 11(6)
Subscribe to unlock full Legal Analysis Subscribe Now
Related Judgement
Supreme Court Supreme Court Grants Bail to NDPS Accused After 2 Years 11 Months Custody. High Court's Rejection Based on Co-Accused's Non-Surrender Set Aside as Each Accused's Case Must Be Considered on Its Own Merits Under Section 20(b)(ii)(C) of NDPS Act.
Related Judgement
High Court High Court of Bombay at Aurangabad Dismisses State's Writ Petition Challenging Labour Court Award of Reinstatement with Back Wages. Termination of Workman Held Illegal for Non-Compliance with Section 25-F of Industrial Disputes Act, 1947.