K. Mangayarkara vs N.J. Sundaresan 2025 INSC 687 - S.8 Arbitration Act
Arbitration and Conciliation Act 1996 - Section 8 - Once an application in due compliance with Section 8 is filed, the approach of the civil court should be not to see whether the court has jurisdiction. It should be to see whether its jurisdiction has been ousted- Once there is an arbitration agreement between the parties, a judicial authority before whom an action is brought covering the subject-matter of the arbitration agreement is under a positive obligation to refer parties to arbitration by enforcing the terms of the contract. There is no element of discretion left in the court or judicial authority to obviate the legislative mandate of compelling parties to seek recourse to arbitration - Allegations of fraud or criminal wrongdoing or of statutory violation would not detract from the jurisdiction of the arbitral tribunal to resolve a dispute arising out of a civil or contractual relationship on the basis of the jurisdiction conferred by the arbitration agreement. (Para 15-16)
Once an application in due compliance with Section 8 A&C Act is filed, the approach of the civil court should be not to see whether the court has jurisdiction. It should be to see whether its jurisdiction has been ousted.#SupremeCourt https://t.co/EUbeJq5ZwJ pic.twitter.com/T5k7PCskHL
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