Must Be Wary Of Unnecessary Judicial Interference At Every Stage Of Arbitral Process: Calcutta HC Upholds Arbitral Award In Favor Of Reliance Infra
1 year, 5 months ago

Must Be Wary Of Unnecessary Judicial Interference At Every Stage Of Arbitral Process: Calcutta HC Upholds Arbitral Award In Favor Of Reliance Infra

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In a landmark 255-page judgement, the Calcutta High Court has upheld an arbitral award in favor of Reliance Infrastructure, arising out of a deal struck with the Damodar Valley Corporation for construction of thermal power plants in Raghunathpur. Thereafter, the DVC decided to challenge the Award and filed a Section 34 application under the Arbitration and Conciliation Act, 1996 in 2020 on grounds of patent illegality in administering the impugned award. In partially allowing the arbitral award, the Court upheld the direction on DVC for furnishing the impugned award, while setting aside certain aspects of the impugned award which were found to be patently illegal. As a result, by virtue of this Court’s power under Section 34 of the Act, this Court sets aside the findings of the arbitral tribunal only with respect to the aforesaid issues.

History of this topic

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