In a suit for injunction filed by the respondent, the prayer made was to
restrain the first and second defendant institutions and their men from
illegally taking away from the possession of plaintiff or her employee, or
interfering with the use and enjoyment of ambassador or causing damage to
the car bearing registration number KL-11-AA-1473 in the ownership and
possession of the plaintiff by way of a decree of injunction. The car was
purchased on loan granted by the appellant.
Duly complying with the procedure under Section 8 of the Arbitration Act,
the appellant filed an application bringing to the notice of the trial
court that in view of the agreement for arbitration between the parties
regarding resolution of the disputes, the court did not have jurisdiction
to try the case and the parties were to be directed to the process of
arbitration in terms of the agreement. =
Once an application is duly filed in terms of Section 8 of The Arbitration
and Conciliation Act, 1996 (hereinafter referred to as 'Arbitration Act')
before the civil court, what should be the approach of the court?
is filed, the approach of the civil court should be not to see whether the
court has jurisdiction. It should be to see whether its jurisdiction has
been ousted. There is a lot of difference between the two approaches. Once
it is brought to the notice of the court that its jurisdiction has been
taken away in terms of the procedure prescribed under a special statue, the
civil court should first see whether there is ouster of jurisdiction in
terms or compliance of the procedure under the special statute. The general
law should yield to the special law - generalia specialibus non derogant.
In such a situation, the approach shall not be to see whether there is
still jurisdiction in the civil court under the general law. Such
approaches would only delay the resolution of disputes and complicate the
redressal of grievance and of course unnecessarily increase the pendency in
the court.
The order dated 21.06.2010 passed by the trial court and order dated
17.03.2014 passed by the High Court, are set aside. The trial court is
directed to pass fresh orders on the application filed by the appellant-
defendant under Section 8 of the Arbitration Act. The needful shall be done
within a period of two months from the date of receipt of this order.-2015 S.C.MSKLAWREPORTS
