Arbitration clause enforced by consent, with civil suit referred to arbitration and court fee refund directed.

A civil suit arising from a contract containing an arbitration clause was referred to arbitration after the defendant invoked Section 8 of the Arbitration and Conciliation Act, 1996 and the plaintiff raised no objection, subject to refund of court fees. The court acted on the existence of the arbitration agreement and the parties' consent to remit the dispute to the agreed arbitral forum. The suit was accordingly disposed of, and a certificate for refund of court fee was directed to be issued to the plaintiff.

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Issues: Whether the civil suit was required to be referred to arbitration under the arbitration clause.

Analysis: The dispute arose from a contract containing an arbitration clause. The defendant invoked the statutory remedy under Section 8 of the Arbitration and Conciliation Act, 1996, and the plaintiff expressed no objection to reference of the dispute to arbitration, subject to refund of court fees. In view of the parties' consent and the existence of the arbitration agreement, the suit was directed to arbitration.

Conclusion: The suit was referred to arbitration and disposed of, with a direction for refund of the court fee to the plaintiff through the prescribed certificate.

Final Conclusion: The civil proceedings were terminated in favour of the party seeking arbitration, and the dispute was relegated to the agreed arbitral forum.

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