C.A. No. 002713 / 2019
M/S ICOMM TELE LTD. REP. THR. AUTHORISED REP. vs PUNJAB STATE WATER SUPPLY AND SEWERAGE BOARD REP. THR. ITS MANAGING DIRECTOR
Status
DISPOSED
Judges
HON'BLE MR. JUSTICE ROHINTON FALI NARIMAN and HON'BLE MR. JUSTICE VINEET SARAN
Order Date
11-03-2019
Citation
2019 INSC 341
Filed On
09-01-2018 12:54 PM
AI Summary
A contractual clause requiring a 10% pre-deposit of the claimed amount as a precondition to invoking arbitration is arbitrary and violative of Article 14, as it imposes a disproportionate threshold on all claims irrespective of their merit, clogs the alternative dispute resolution process, and permits forfeiture even where the claimant succeeds on merits.