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SC resolved jurisdictional dispute regarding arbitral proceedings under MSMED Act, affirming Facilitation Council's exclusive jurisdiction where MSME supplier is located. The Court upheld prior precedent in Mahakali case, determining that Section 18(4) of MSMED Act specifically vests arbitration jurisdiction in the council where supplier is domiciled. In this instance, Delhi Facilitation Council was deemed competent to conduct arbitration through Delhi Arbitration Centre. The SC allowed the appeal, set aside the Karnataka HC order, and directed arbitral proceedings to be conducted consistent with statutory mandate.
SC resolved jurisdictional dispute regarding arbitral proceedings under MSMED Act, affirming Facilitation Council's exclusive jurisdiction where MSME supplier is located. The Court upheld prior precedent in Mahakali case, determining that Section 18(4) of MSMED Act specifically vests arbitration jurisdiction in the council where supplier is domiciled. In this instance, Delhi Facilitation Council was deemed competent to conduct arbitration through Delhi Arbitration Centre. The SC allowed the appeal, set aside the Karnataka HC order, and directed arbitral proceedings to be conducted consistent with statutory mandate.
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