Interest on Wrongful Input Tax Credit is mandatory where excess transitional credit was retained and later reversed, and related objections were rejec...
Reopening Assessments invalid where satisfaction and jurisdictional approval are absent for third party seized material, leading to quashing of assess...
SC held that contractual clauses excluding disputes from arbitration must be construed narrowly and consistently with the rule of law. Where liability itself is disputed, one party cannot finally decide its own alleged breach or negligence and then bar both court and arbitral review. Clause 3.20 was read as permitting finality only on quantification where liability is admitted; it did not exclude arbitration of a contested liability dispute. The arbitral tribunal therefore had jurisdiction, the award did not relate to an excepted matter, and the High Court erred in treating the dispute as non-arbitrable. The appeals were allowed and the award restored.
SC held that contractual clauses excluding disputes from arbitration must be construed narrowly and consistently with the rule of law. Where liability itself is disputed, one party cannot finally decide its own alleged breach or negligence and then bar both court and arbitral review. Clause 3.20 was read as permitting finality only on quantification where liability is admitted; it did not exclude arbitration of a contested liability dispute. The arbitral tribunal therefore had jurisdiction, the award did not relate to an excepted matter, and the High Court erred in treating the dispute as non-arbitrable. The appeals were allowed and the award restored.
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
TaxTMI 
of 4811 
Join Channel 
