Bombay High Court Dismisses Review Petition in Arbitration Appointment Case — No Error Apparent on Face of Record. Court holds that review cannot be used as an appeal and that the arbitrator's appointment under Section 11 of the Arbitration and Conciliation Act, 1996 is not subject to review on merits.

High Court: Bombay High Court Bench: BOMBAY
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Case Note & Summary

The petitioners, Roptonal Ltd (formerly Indian Film Company (Cyprus) Ltd) and Viacom 18 Media Pvt. Ltd., filed a review petition in the Bombay High Court seeking to recall an order dated 12th June 2014 passed in Arbitration Application No.97 of 2013, which had appointed an arbitrator to adjudicate disputes with the respondent, Anees Bazmee. The background involved an agreement dated 12th May 2008 between the Indian Film Company (Cyprus) Ltd and the respondent, whereby the respondent assigned all rights, title, and interest in a film to the company. Subsequently, the Indian Film Company merged with Roptonal Ltd. Disputes arose, and the petitioners invoked the arbitration clause and filed an application under Section 11 of the Arbitration and Conciliation Act, 1996, leading to the appointment of an arbitrator. The review petition alleged that the court had not considered certain clauses of the agreement, particularly regarding the seat of arbitration and the requirement of a notice before invoking arbitration. The petitioners argued that these omissions constituted errors apparent on the face of the record. The respondent opposed the review, contending that the issues had been fully argued and decided, and that review was not a substitute for an appeal. The court, after hearing both sides, held that the review jurisdiction under Order 47 Rule 1 of the Code of Civil Procedure, 1908 is limited to errors apparent on the face of the record and does not permit re-appreciation of evidence or re-argument of the case. The court found that the alleged errors were not apparent but required detailed examination, which is beyond the scope of review. Consequently, the review petition was dismissed, and the order appointing the arbitrator was upheld.

Headnote

A) Civil Procedure - Review - Error Apparent on Face of Record - Order 47 Rule 1, Code of Civil Procedure, 1908 - The petitioners sought review of an order appointing an arbitrator under Section 11 of the Arbitration and Conciliation Act, 1996, arguing that the court had not considered certain clauses of the agreement. The court held that review is not an appeal and that the alleged errors were not apparent on the face of the record but required re-appreciation of evidence. The petition was dismissed. (Paras 1-10)

B) Arbitration - Appointment of Arbitrator - Section 11, Arbitration and Conciliation Act, 1996 - The court had earlier appointed an arbitrator under Section 11. The review petition contended that the arbitration clause was not invoked properly. The court found that the issue had been considered and that no error was apparent. (Paras 2-8)

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Issue of Consideration

Whether the order dated 12th June 2014 appointing an arbitrator suffers from an error apparent on the face of the record warranting review under Order 47 Rule 1 of the Code of Civil Procedure, 1908.

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Final Decision

The review petition is dismissed. The order dated 12th June 2014 appointing the arbitrator is upheld.

Law Points

  • Review jurisdiction is limited to errors apparent on the face of the record
  • not re-appreciation of evidence or re-argument of the case
  • Section 11 of the Arbitration and Conciliation Act
  • 1996
  • Order 47 Rule 1 of the Code of Civil Procedure
  • 1908
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Case Details

2016 LawText (BOM) (06) 96

Review Petition (L) No.7 of 2016 in Arbitration Application No.97 of 2013

2016-06-08

R.D. Dhanuka, J.

Mr.Snehal Shah a/w Mr.Vaibhav Bhure a/w Ms.Madhu Gadodia a/w Ms.Akshita Palvia i/by M/s.Naik Naik & Co. for the petitioners. Mr.J.P.Sen, Senior Advocate a/w Mr.Vaibhav Goghare a/w Mr. Murlidhar S. Khadilkar a/w Mr.Piyush Pande i/by M/s.MAG Legal for the respondent.

Roptonal Ltd (Erstwhile the Indian Film Company (Cyprus) Ltd.) and Viacom 18 Media Pvt. Ltd.

Anees Bazmee

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Nature of Litigation

Review petition seeking recall of an order appointing an arbitrator under Section 11 of the Arbitration and Conciliation Act, 1996.

Remedy Sought

The petitioners sought review/recall of the order and judgment dated 12th June 2014 passed in Arbitration Application No.97 of 2013.

Filing Reason

The petitioners alleged that the court had not considered certain clauses of the agreement while appointing the arbitrator, constituting an error apparent on the face of the record.

Previous Decisions

The court had earlier passed an order on 12th June 2014 in Arbitration Application No.97 of 2013 appointing an arbitrator.

Issues

Whether the order dated 12th June 2014 suffers from an error apparent on the face of the record warranting review under Order 47 Rule 1 CPC.

Submissions/Arguments

Petitioners argued that the court had not considered clauses regarding the seat of arbitration and the requirement of a notice before invoking arbitration, which were errors apparent on the face of the record. Respondent contended that the issues had been fully argued and decided, and review is not a substitute for an appeal.

Ratio Decidendi

Review jurisdiction under Order 47 Rule 1 CPC is limited to errors apparent on the face of the record and does not permit re-appreciation of evidence or re-argument of the case. The alleged errors were not apparent but required detailed examination, which is beyond the scope of review.

Judgment Excerpts

By this review petition filed by the petitioners, the petitioners seek review/recall of the order and judgment dated 12th June 2014 passed by this Court in Arbitration Application No.97 of 2013. The review jurisdiction is limited to errors apparent on the face of the record and does not permit re-appreciation of evidence or re-argument of the case.

Procedural History

The petitioners filed Arbitration Application No.97 of 2013 under Section 11 of the Arbitration and Conciliation Act, 1996 for appointment of an arbitrator. The court allowed the application and appointed an arbitrator on 12th June 2014. Thereafter, the petitioners filed Review Petition (L) No.7 of 2016 seeking review/recall of that order. The review petition was heard and dismissed on 8th June 2016.

Acts & Sections

  • Arbitration and Conciliation Act, 1996: Section 11
  • Code of Civil Procedure, 1908: Order 47 Rule 1
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