Arbitrator Cannot Be Appointed Over A ‘Dead Cause Of Action’ Barred By Law Of Limitation
Case: Dipakkumar Nathabhai Patel VS Narmadaben Dhirajlal Radadia & 2 Other(S)
Coram: Chief Justice Aravind Kumar
Case No.: C/IAAP/173/2018
Court Observation: “Normally the issue of limitation being question of fact/s and the Law governing the same would be procedural, it would always be open for the Arbitral Tribunal to decide based on the facts that may be unfolded in a given case. However, this Court exercising the power of referring the dispute to arbitration, would refuse to do so when it is manifest that claims are ex-facie time barred and dead or there is no subsisting dispute”
“…it has been held that the Court must undertake a primary first review to weed out “manifestly ex facie non-existent and invalid arbitration agreements, or non-arbitrable disputes.” The prima facie review at the reference stage is to cut the deadwood, where dismissal is barefaced and pellucid, and when on the facts and law, the litigation must stop at the first stage.”
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Keywords
Dead Cause Of Action, Law Of Limitation
