Existence Of Arbitration Clause Doesn’t Limit Jurisdiction Of Consumer Forums Even After 2015 Amendment, Reiterates SC [Read Judgment]

“The amendment in Section 8 cannot be given such expansive meaning and intent so as to inundate entire regime of special legislations where such disputes were held to be not arbitrable”The Supreme Court has upheld the National Consumer Dispute Redressal Commission order rejecting a plea seeking reference to the arbitrator in a consumer complaint despite there being arbitration. “The amendment in Section 8 cannot be given such expansive meaning and intent so as to inundate entire regime of special legislations where such disputes were held to be not arbitrable” The Supreme Court has upheld the National Consumer Dispute Redressal Commission order rejecting a plea seeking reference to the arbitrator in a consumer complaint despite there being arbitration clause in the agreement entered between buyer and the builder. The bench then referred to the Amendment Act and observed: “The words “notwithstanding any judgment, decree or order of the Supreme Court or any Court” added by amendment in Section 8 were with intent to minimise the intervention of judicial authority in context of arbitration agreement. The court, rejecting the contention raised in review petition, said that the words “notwithstanding any judgment, decree or order of the Supreme Court or any Court” were meant only to those precedents where it was laid down that the judicial authority while making reference under Section 8 shall entitle to look into various facets of the arbitration agreement, subject matter of the arbitration whether the claim is alive or dead, whether the arbitration agreement is null and void.