Who Cannot Enter Into Arbitration Agreement In India

Question

Who Cannot Enter Into Arbitration Agreement In India

11-Jan-2023 (In Civil Law)

Who Cannot Enter Into Arbitration Agreement In India? If they cannot enter then which remedy available to them?

Answers (2)

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Advocate Garima Anil Mehrotra LawRato · Accepted Answer · 2020-01-12T00:44:13+05:30

Answer #1

if you enter into an agreement with the other party by way of legally enforceable agreement, you become a party to it and in case any dispute arises in future with regards to enforcement of the agreement, the dispute is to be referred for arbitration before the arbitrator.

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Advocate Pankaj Bajaj LawRato · Accepted Answer · 2020-01-12T16:26:24+05:30

Answer #2

As per the Contract Act, 1872, the following persons cannot enter into an Arbitration Contract : 1. Parties of Unsound Mind 2. Minor Parties 3. An Agent acting on behalf of his Principal but without express authority of the Principal 4. Persons entering into Arbitration Contract without their free consent and will and such, their consent if it was obtained by force, undue influence, greed, misrepresentation, then such consent has no relevance & as such, such persons will not be entitled to enter into an Arbitration Contract. 5. Parties/Persons cannot enter into an Arbitration Contract if the objective or purpose behind it is illegal.

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