https://www.taxtmi.com/caselaws?id=99325 Proceedings for oppression and mismanagement under sections 397 and 398 of the Companies Act, 1956 are not stayable under section 34 of the Arbitration Act, 1940 merely because the company's articles contain an arbitration clause. The court reasoned that these statutory proceedings invoke a special jurisdiction, with reliefs under sections 402 and 403 to be granted by the court itself. A private arbitration agreement cannot override that statutory scheme or displace the court's power to adjudicate the company petition. The arbitration clause was therefore treated as repugnant to the statutory remedy and incapable of preventing the proceedings. en-us Tue, 09 Sep 1975 00:00:00 +0530 Wed, 25 Jan 2012 18:46:04 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=99325 Proceedings for oppression and mismanagement under sections 397 and 398 of the Companies Act, 1956 are not stayable under section 34 of the Arbitration Act, 1940 merely because the company's articles contain an arbitration clause. The court reasoned that these statutory proceedings invoke a special jurisdiction, with reliefs under sections 402 and 403 to be granted by the court itself. A private arbitration agreement cannot override that statutory scheme or displace the court's power to adjudicate the company petition. The arbitration clause was therefore treated as repugnant to the statutory remedy and incapable of preventing the proceedings. Case-Laws Companies Law Tue, 09 Sep 1975 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=99325