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Issues: Whether the writ petition challenging the arbitral tribunal's order on jurisdiction was maintainable, and whether the arbitral tribunal had power to rule on its own jurisdiction and on the existence or validity of the arbitration agreement.
Analysis: Section 16 of the Arbitration and Conciliation Act, 1996 confers on the arbitral tribunal the authority to decide objections relating to its jurisdiction and to the existence or validity of the arbitration agreement. Where the tribunal rejects such a plea, the statute requires the arbitration to continue and the aggrieved party is left to challenge the award in accordance with the statutory remedy. The Court relied on the legislative scheme of the Act and the object of arbitration as an expeditious dispute-resolution mechanism, and held that intervening at the intermediate stage by writ would defeat that scheme. The Court also accepted the view that the question of arbitral jurisdiction is not ordinarily amenable to writ interference before the award is made.
Conclusion: The arbitral tribunal was competent to decide its own jurisdiction, and the writ petition challenging that interlocutory order was not maintainable.
Ratio Decidendi: When the Arbitration and Conciliation Act, 1996 expressly authorises the arbitral tribunal to rule on its own jurisdiction, challenges to an order rejecting a jurisdictional objection must ordinarily await the statutory post-award remedy and are not to be entertained in writ proceedings at the intermediate stage.