9911796707
TMI Blog2013 (3) TMI 888X X X X Extracts X X X X X X X X Extracts X X X X ..... eading to this petition are this wise: The respondent herein and Escorts Agri Machinery Inc., ( Escorts AMI ) which was a subsidiary of the petitioner, were holding following percentage of shares in another company, by name, Beever Creek Holdings ( BCH ). The respondent held 49% of shares and Escorts AMI held 51%. There was an agreement between the two parties whereby the respondent sold its shareholding in BCH for a price of Rs.1.2 Million Dollars which was to be paid in four installments. The Escorts AMI paid the first two installments but defaulted in the payment of the other two. This led to a suit being filed by the respondent in the Wake Country Superior Court in the State of North Carolina, USA. A consent order was passed therein on ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pursuant to the Federal Arbitration Act. 4. The submission of Mr. Tripathi is that unless a confirmation of the award by the foreign Court was obtained, the award could not be executed in India. He relied upon Section 9 of the Federal Arbitration Act of U.S. which reads as follows: 9. Award of arbitrators; confirmation; jurisdiction; procedure If the parties in their agreement have agreed that a judgment of the court shall be entered upon the award made pursuant to the arbitration, and shall specify the court, then at any time within one year after the award is made any party to the arbitration may apply to the court so specified for an order confirming the award, and thereupon the court must grant such an order unless the award is vacated, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ecome binding on the parties. 6. Mr. Rautray, learned counsel appearing for the respondent, on the other hand, pointed out that the relevant Section of the Federal US Law is concerning the domestic awards and when it comes to foreign awards, there is a separate chapter under the US Law and in that behalf he referred to Section 202 of the said Act which reads as follows: 202. Agreement or award falling under the Convention An arbitration agreement or arbitral award arising out of a legal relationship, whether contractual or not, which is considered as commercial, including a transaction, contract, or agreement described in section 2 of this title, falls under the Convention. An agreement or award arising out of such a relationship which is e ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ill be a procedural addition resulting into further delay into getting the fruits of the award of the party which has succeeded. 9. He also drew our attention to certain observations of this Court in paragraph 33 in Harendra H. Mehta an Ors. Vs. Mukesh H. Mehta and Ors., reported in (1995) 5 SCC 108. It was in a situation where a judgment had, in fact, been obtained before going for execution. However, the Court also observed that it was not material for the purpose of enforcement of a foreign award under the Foreign Awards Act that the award in any country other than India is made enforceable by a judgment. 10. We have noted the submissions of both the counsel appearing for the parties. It is also material to note that even as per the requ ..... X X X X Extracts X X X X X X X X Extracts X X X X
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