Case Note & Summary
The case involves a Civil Miscellaneous Appeal filed by M/s.BMM ISPAT Limited against M/s. Unicon Engineers under Section 37 of the Arbitration and Conciliation Act, 1996 and Section 13 of the Commercial Courts Act, 2015. The appeal challenged an order dated 30.10.2023 passed by the Principal District Judge, Commercial Court at Coimbatore in AOP.No. 82 of 2023, which had set aside an award dated 17.02.2015 passed by the MSME Council. During the proceedings, both parties, with the assistance of their counsel and mediators, entered into a settlement agreement during a mediation session held on 06.02.2026. The Mediation and Conciliation Centre forwarded a report enclosing the original settlement agreement signed by both parties and their counsels. The court, noting the settlement, disposed of the appeal in accordance with the settlement agreement, directing that the settlement agreement form part of the judgment and decree. The appellant was granted refund of court fee as per rules. Consequently, the connected miscellaneous petition was closed, and no costs were awarded.
Headnote
A) Arbitration - Settlement Agreement - Disposal of Appeal - Section 37 of the Arbitration and Conciliation Act, 1996 - The appeal was filed challenging an order setting aside an MSME Council award. During mediation, parties entered into a settlement agreement. The court disposed of the appeal in accordance with the settlement agreement, which was made part of the judgment and decree. The appellant was entitled to refund of court fee as per rules. (Paras 2-3)
Issue of Consideration
Whether the appeal under Section 37 of the Arbitration and Conciliation Act, 1996 should be disposed of in terms of the settlement agreement reached during mediation.
Final Decision
The appeal is disposed of in accordance with the settlement agreement. The settlement agreement shall form part of the judgment and decree. The appellant is entitled to refund of Court fee in accordance with the Rules. Consequently, connected miscellaneous petition is closed. No costs.
Law Points
- Settlement agreement
- Mediation
- Disposal of appeal
- Refund of court fee
Case Details
CMA No. 3032 of 2023 and CMP No.28683 of 2023
C.V. Karthikeyan, K.Kumaresh Babu
Mr.S.Vijayaraghavan for appellant, Mr.B.Manoharan for respondent
M/s.BMM ISPAT Limited rep by its Deputy General Manager K.Venkata Raghavandra
M/s. Unicon Engineers Rep by its Managing Partner Mr. P.Ponram
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Nature of Litigation
Civil Miscellaneous Appeal under Section 37 of the Arbitration and Conciliation Act, 1996 and Section 13 of the Commercial Courts Act, 2015 challenging an order setting aside an MSME Council award.
Remedy Sought
Appellant sought to set aside the order dated 30.10.2023 passed by the Principal District Judge, Commercial Court at Coimbatore which set aside the MSME Council award dated 17.02.2015.
Filing Reason
The appellant challenged the order of the Commercial Court setting aside the MSME Council award.
Previous Decisions
The Principal District Judge, Commercial Court at Coimbatore in AOP.No. 82 of 2023 (Old AOP.No. 125 of 2020) set aside the award dated 17.02.2015 passed by the MSME Council.
Issues
Whether the appeal should be disposed of in terms of the settlement agreement reached during mediation.
Submissions/Arguments
Both counsel submitted that parties have settled the dispute through mediation and filed a settlement agreement.
Ratio Decidendi
When parties to an appeal under Section 37 of the Arbitration and Conciliation Act, 1996 enter into a settlement agreement during mediation, the court may dispose of the appeal in terms of the settlement, which forms part of the judgment and decree, and the appellant is entitled to refund of court fee as per rules.
Judgment Excerpts
Both the learned counsel for the appellant and the respondent are present.
Exercising much prudence and with the help and assistance of the learned counsels and with the further assistance of Mediators, the appellant and the respondent have entered into a settlement agreement during the Mediation Session held on 06.02.2026.
The appeal is disposed of in accordance with the settlement agreement. The settlement agreement shall form part of this judgment and decree.
Procedural History
The appellant filed CMA No. 3032 of 2023 under Section 37 of the Arbitration and Conciliation Act, 1996 and Section 13 of the Commercial Courts Act, 2015 challenging the order dated 30.10.2023 passed by the Principal District Judge, Commercial Court at Coimbatore in AOP.No. 82 of 2023 (Old AOP.No. 125 of 2020) which set aside the MSME Council award dated 17.02.2015. During the pendency of the appeal, parties participated in mediation and settled the dispute on 06.02.2026. The court disposed of the appeal on 16.02.2026 in terms of the settlement.
Acts & Sections
- Arbitration and Conciliation Act, 1996: Section 37
- Commercial Courts Act, 2015: Section 13
