Case Note & Summary
The appellant, Mahanagar Telephone Nigam Ltd., filed an appeal under Section 13 of the Commercial Courts, Commercial Division and Commercial Appellate Division of High Courts Act, 2015 (Commercial Courts Act, 2015) against an order passed under Section 10 of the said Act in an arbitration matter. The respondent was M/s. SRV Telecom Pvt. Ltd. The parties agreed that the aggregate value of the claim and counterclaim in the arbitration was less than one crore rupees. The court examined the roster/assignment of the Division Bench, which specified that appeals under Section 13 of the Commercial Courts Act, 2015 against orders under Section 10 of the said Act were assigned to this Bench. The court noted that the Commercial Courts Act, 2015 and the Arbitration and Conciliation Act, 1996 (as amended by the Arbitration and Conciliation (Amendment) Act, 2015) came into force on 23.10.2015 and must be read together to achieve expeditious hearing of commercial matters. Section 10 of the Commercial Courts Act, 2015 deals with jurisdiction in arbitration matters and provides that where the subject matter of an arbitration is a commercial dispute of a Specified Value, all applications or appeals arising out of such arbitration under the Arbitration and Conciliation Act, 1996 shall be heard by the Commercial Division or Commercial Court. The court held that the appeal under Section 13 of the Commercial Courts Act, 2015 is maintainable only against an order under Section 10 of the said Act, and only if the subject matter of arbitration is a commercial dispute of a Specified Value. Since the aggregate value of the claim and counterclaim was less than one crore rupees, the appeal was not maintainable. The court dismissed the appeal as not maintainable, with no order as to costs.
Headnote
A) Arbitration Law - Appeal under Section 13 of Commercial Courts Act, 2015 - Maintainability - Specified Value - The appeal under Section 13 of the Commercial Courts, Commercial Division and Commercial Appellate Division of High Courts Act, 2015 is maintainable only against an order under Section 10 of the said Act, and only if the subject matter of arbitration is a commercial dispute of a Specified Value (one crore rupees). Where the aggregate value of the claim and counterclaim in the arbitration is less than one crore rupees, the appeal is not maintainable. (Paras 1-5)
Issue of Consideration
Whether an appeal under Section 13 of the Commercial Courts, Commercial Division and Commercial Appellate Division of High Courts Act, 2015 is maintainable against an order under Section 10 of the said Act, when the aggregate value of the claim and counterclaim in the arbitration is less than one crore rupees.
Final Decision
The appeal is dismissed as not maintainable. No order as to costs.
Law Points
- Appeal under Section 13 of Commercial Courts Act
- 2015 is maintainable only against orders under Section 10 of the said Act
- and only if the subject matter of arbitration is a commercial dispute of specified value (one crore rupees). Where the aggregate value of claim and counterclaim is less than one crore
- the appeal is not maintainable.
