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TMI Blog2018 (8) TMI 2022X X X X Extracts X X X X X X X X Extracts X X X X ..... vered by an arbitration agreement, it is imperative on the Court to refer the parties to arbitration instead of venturing to proceed to decide the suit on merit. If an express embargo is created under the statute, the Court cannot travel beyond it. The Court cannot pass such a direction which is not contemplated under Section 8 of the said Act and, therefore, the direction as sought for in the instant application is beyond the legal competence of the Court who was in seisin of the suit and was exercising jurisdiction within strict parameters of section 8 of the said Act. Mere granting a liberty to file a review application cannot be perceived to have conferred any right upon the litigant to have the order in his favour as the Court before h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ents. The said application was filed in both the suits and since the facts pleaded in both the suits are more or less identical, this Court decides to take up these applications analogously. By a common judgment and order dated 13th June, 2016, this Court allowed the applications filed by the respondent under Section 8 of the said Act and referred the parties to arbitration. 3. The petitioner challenged the said order before the Supreme Court by filing a Special Leave Petition. The Special Leave Petition came up on 7th November, 2016 and was withdrawn by the petitioner. It was submitted before the Supreme Court that such withdrawal is made to file an application for review before the High Court only on the ground that under the amended p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... parent distinction between an order containing error apparent on the face of the record and the illegal and erroneous order. In former case, Court can exercise the review jurisdiction but in later case, the remedy lies by moving the Higher Forum. The scope under Section 8 of the said Act is very limited and limited to the extent of the cause of action pleaded in the suit in relation to the arbitration clause or agreement. If the subject dispute is covered by an arbitration agreement, it is imperative on the Court to refer the parties to arbitration instead of venturing to proceed to decide the suit on merit. If an express embargo is created under the statute, the Court cannot travel beyond it. The Court cannot pass such a direction which is ..... X X X X Extracts X X X X X X X X Extracts X X X X
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