Case Note & Summary
The case involves an appeal filed by Oil and Natural Gas Corporation Ltd. (ONGC) under Section 37 of the Arbitration and Conciliation Act, 1996, challenging an interim order dated 9th August, 2004 passed by the Arbitral Tribunal. The dispute arose from a tender invited by ONGC in July 1999 for the charter hire of a jack-up rig. Five bidders responded, including the respondent, Jagson Intl. Ltd., and M/s. Neptune Exploration and Industries Ltd. Both the respondent and M/s. Neptune offered the same rigs, 'Sakhalinskaya' and 'Kurilskaya'. ONGC sought clarifications and confirmations regarding the availability of the rigs. The respondent provided a letter from the rig owners, M/s. Osneft Sakhalinmorneftegaz, dated 8th December, 1999. ONGC then issued a letter on 22nd December, 1999, asking the respondent to confirm continued availability of the rig 'Sakhalinskaya' and provide details for 'Kurilskaya' with documentary proof, as M/s. Neptune's details differed. The Arbitral Tribunal passed an interim order under Section 17 of the Act. ONGC appealed this order under Section 37. The court examined the maintainability of the appeal. It noted that Section 37 of the Act specifies the orders against which an appeal lies, including orders granting or refusing to grant interim measures under Section 9. However, there is no provision for an appeal against an interim order passed by the Arbitral Tribunal under Section 17. The court held that the appeal was not maintainable and dismissed it. The court did not address the merits of the interim order.
Headnote
A) Arbitration Law - Appeal against interim order of Arbitral Tribunal - Section 37 of the Arbitration and Conciliation Act, 1996 - Maintainability - The appellant challenged an interim order dated 9th August, 2004 passed by the Arbitral Tribunal under Section 17 of the Act. The court held that Section 37 of the Act does not provide for an appeal against an interim order passed under Section 17. The only appealable orders under Section 37 are those granting or refusing to grant interim measures under Section 9 of the Act. Therefore, the appeal was not maintainable and was dismissed. (Paras 1-5)
Issue of Consideration
Whether an appeal under Section 37 of the Arbitration and Conciliation Act, 1996 lies against an interim order passed by the Arbitral Tribunal under Section 17 of the Act.
Final Decision
The appeal is dismissed as not maintainable. No order as to costs.
Law Points
- Section 37 of the Arbitration and Conciliation Act
- 1996 does not provide for an appeal against an interim order passed under Section 17 of the Act
- Section 17 of the Arbitration and Conciliation Act
- 1996 empowers the arbitral tribunal to pass interim orders
- 1996 only provides for appeals against orders granting or refusing to grant interim measures under Section 9 of the Act
