Authority: High Court of Judicature at Bombay
Order Date: 28 August 2026
Case Overview
- Applicant: Shriram Transport Finance Co. Ltd.
- Respondents: Chand Ali Hussain Shaikh and Another.
- The applicant, through counsel Ms. Disha Karambar, sought leave to withdraw Execution Application No. 769 of 2017 (Notice No. 1043 of 2017).
- The Court observed that the matter is covered by the Supreme Court judgment in Bhadra International (India) Pvt. Ltd. & Others v. Airport Authority of India (Civil Appeal Nos. 37‑38 of 2026, decided 5 January 2026), which held that an arbitral award is void ab initio if the arbitrator was unilaterally appointed.
- The Court reiterated that a decree passed by a court lacking jurisdiction is coram non judice and therefore all subsequent proceedings, including execution, are rendered non est.
- The Court cited its own earlier decision in L & T Finance Ltd. Vs. Sangeeta Bhansali & Anr. (Commercial Execution Application (L) No.5277 of 2022, decided 17 January 2026) supporting the same view.
Final Outcome
- Leave is granted to the applicant to withdraw the execution proceedings.
- The parties are free to initiate fresh arbitration proceedings, if necessary, in accordance with law.
- Regarding limitation, the period from the date of invocation of arbitration to the date of this order will be excluded if fresh proceedings are started.
- The execution application is disposed of as withdrawn.
- Any interim applications, if filed, are also disposed of and will not survive.
Topics: Arbitration, Execution Proceedings