Can interim order u/s 9 of arbitration act be challange?
Dr.Gaurang N. Gandhi
(Querist) 06 May 2014
This query is : Resolved
Dear Sir,
My cousin purchased a car on Loan at Gandhinagar- Gujarat.
According to the agreement with the financing company the purchaser has to repay the loan amount by 60 monthly installments.
The purchaser issue 10 cheques in advance and after 9 the instalment issued another 10 cheques in favour of the financing company.
Meanwhile the managing staff forgotten to ancash three cheques and debited the installment amount and charged interest @ 36% on such outstanding installment amount.
Recently the financing company issued Notice to start Arbitration Proceedings and another notice for appointment of arbitrator.
The appointment of arbitrator by the financing company issued notice that contain date and place of arbitration proceedings it was Mumbai.
Meanwhile the purchaser replied all the notices with denial to initiate arbitration proceedings. And filed reply through Post.
But the arbitrator refused to consider the reply filed by RPAD and pass interim order to seize and sell the CAR by Auction if the purchaser fail to repay whole loan amount within 7 days from the date of the order.
Can we challenge the interim order?
If yes then which Court has jurisdiction?
The purchaser's permanent residence address is Mahesana -Gujarat and whole correspondence held at Mahesana address and one branch office of the financing company is also situated at Mahesana.
Devajyoti Barman
(Expert) 06 May 2014
High court has jurisdiction to challenge the order of arbitrator in its original jurisdiction.
Refer the terms to the agreement to determine the place of arbitration.
Rajendra K Goyal
(Expert) 06 May 2014
Orders can be challenged. Consult your lawyer.
Dr.Gaurang N. Gandhi
(Querist) 06 May 2014
U/s 34 of Arbitration Act 1996 Civil Court or District Court has Jurisdiction to challenge the arbitral proceedings but how to challenge interim order is not in my knowledge...
Advocate Bhartesh goyal
(Expert) 06 May 2014
Challenge the interim order passed by Arbitrator u/sec 34 of Arbitration And Conciliation Act 1996,before District Judge having jurisdiction.High Court has no jurisdiction u/sec 34 of the Act.
Devajyoti Barman
(Expert) 06 May 2014
Dear Goyalji, High Curt in its original jurisdiction has power to adjudicate application u/s 34 of the Act.
Sailesh Kumar Shah
(Expert) 05 November 2014
Interim order given by the arbitrator under provisions of the arbitration and conciliation act, 1996 can be appeal u/s 37(2)(b) of the act,not u/s 34.
