https://www.taxtmi.com/caselaws?id=440835 A dispute cannot be compulsorily referred under Section 8 of the Arbitration and Conciliation Act, 1996 where effective adjudication requires parties who are not bound by the arbitration agreement. The arbitration clause in the memorandum of understanding was only between the appellant and the first respondent, while one suit also impleaded a non-signatory company and the other sought reliefs against a bank that was not a party to the agreement. Because the claims extended to third parties beyond the arbitration pact, reference to arbitration was legally unsustainable and the Supreme Court held the referral erroneous. en-us Tue, 25 Jul 2023 00:00:00 +0530 Fri, 28 Jul 2023 13:19:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=440835 A dispute cannot be compulsorily referred under Section 8 of the Arbitration and Conciliation Act, 1996 where effective adjudication requires parties who are not bound by the arbitration agreement. The arbitration clause in the memorandum of understanding was only between the appellant and the first respondent, while one suit also impleaded a non-signatory company and the other sought reliefs against a bank that was not a party to the agreement. Because the claims extended to third parties beyond the arbitration pact, reference to arbitration was legally unsustainable and the Supreme Court held the referral erroneous. Case-Laws Indian Laws Tue, 25 Jul 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=440835