VIDYA DROLIA AND OTHERS Vs. DURGA TRADING CORPORATION
LAWS(SC)-2020-12-37
SUPREME COURT OF INDIA
Decided on December 14,2020

Vidya Drolia And Others Appellant
VERSUS
DURGA TRADING CORPORATION Respondents


Referred Judgements :-

FIONA TRUST AND HOLDING CORPN. V. PRIVALOV [REFERRED TO]
NOBLE DENTON MIDDLE EAST V. NOBLE DENTON INTERNATIONAL LTD [REFERRED TO]
DELL COMPUTER CORPORATION VS. UNION DES CONSOMMATEURS AND OLIVIER DUMOULLN [REFERRED TO]
FILLI SHIPPING CO. LIMITED VS. PREMIUM NAFTA PRODUCTS LTD [REFERRED TO]
MITSUBISHI MOTORS CORP V. SOLER CHRYSLER PLYMOUTH INC,473 U.S. 614 S CT 3346 (1985) (U.S. SUPREME COURT [REFERRED TO]
PRIMA PAINT CORPN. VS. FLOOD AND CONKLIN MFG. CO [REFERRED TO]
FIRST OPTIONS OF CHICAGO VS. KAPLAN [REFERRED TO]
HOWSAM VS. DEAN WITTER REYNOLDS,INC [REFERRED TO]
SILVER DRY BULK COMPANY LIMITED VS. HOMER HULBERT MARITIME COMPANY LIMITED [REFERRED TO]
SOUTHLAND CORPN. VS. KEATING [REFERRED TO]
TELUS COMMUNICATIONS INC. V. AVRAHAM WELLMAN [REFERRED TO]
UNITED INDIA INSURANCE CO. LTD. VS. HYUNDAI ENGG. AND CONSTRUCTION CO. LTD [REFERRED TO]
VIDYA DROLIA AND OTHERS V. DURGA TRADING CORPORATION [REFERRED TO]
WOLVERHAMPTON NEW WATERWORKS CO. VS. HAWKESFORD [REFERRED TO]
UNION OF INDIA VS. KISHORILAL GUPTA AND BROS [REFERRED TO]
DHULABHAI VS. STATE OF MADHYA PRADESH [REFERRED TO]
DAMODAR VALLEY CORPORATION VS. K K KAR [REFERRED TO]
PREMIER AUTOMOBILES LIMITED AUTOMATIC ELECTRIC PVT LIMITED VS. KAMLEKAR SHANTARAM WADKE OF BOMBAY :ENGINEERING MAZDOOR SABHA [REFERRED TO]
VULCAN INSURANCE CO LIMITED VS. MAHARAJ SINGH [REFERRED TO]
NATRAJ STUDIOS PRIVATE LIMITED VS. NAVRANG STUDIOS [REFERRED TO]
M RAMNARAIN PRIVATE LIMITED VS. STATE TRADING CORPORATION OF INDIA LIMITED [REFERRED TO]
GUJARAT AGRO INDUSTRIES COMPANY LIMITED VS. MUNICIPAL CORPORATION OF CITY OF AHMEDABAD [REFERRED TO]
OLYMPUS SUPERSTRUCTURES PVT LIMITED VS. MEENA VIJAY KHETAN [REFERRED TO]
COMMON CAUSE A REGISTERED SOCIETY VS. UNION OF INDIA [REFERRED TO]
V H PATEL AND COMPANYMPANY VS. HIRUBHAI HIMABHAI PATEL [REFERRED TO]
KONKAN RAILWAY CORPORATION LIMITED VS. MEHUL CONSTRUCTION CO [REFERRED TO]
AGRICULTURAL PRODUCE MARKET COMMITTEE VS. ASHOK HARIKUNI [REFERRED TO]
KONKAN RAILWAY CORPORATION LIMITED VS. RANI CONSTRUCTION PRIVATE LIMITED [REFERRED TO]
SUKANYA HOLDING PRIVATE LIMITED VS. JAYESH H PANDYA [REFERRED TO]
SHIN ETSU CHEMICAL CO LTD VS. AKSH OPTIFIBRE LTD [REFERRED TO]
S B P AND CO VS. PATEL ENGINEERING LTD [REFERRED TO]
TRANSCORE VS. UNION OF INDIA [REFERRED TO]
SHREE RAM MILLS LTD VS. UTILLITY PREMISES P LTD [REFERRED TO]
NATIONAL INSURANCE CO LTD VS. BOGHARA POLYFAB PVT LTD [REFERRED TO]
UNION OF INDIA VS. SINGH BUILDERS SYNDICATE [REFERRED TO]
M R ENGINEERS AND CONTRACTORS PVT LTD VS. SOM DATT BUILDERS LTD [REFERRED TO]
N RADHAKRISHNAN VS. MAESTRO ENGINEERS [OVERRULED]
BOOZ ALLEN AND HAMILTON INC VS. SBI HOME FINANCE LTD [REFERRED TO]
HDFC BANK LTD VS. SATPAL SINGH BAKSHI [REFERRED TO]
CHLORO CONTROLS (I) P. LTD VS. SEVERN TRENT WATER PURIFICATION INC [REFERRED TO]
NIRMALA J. JHALA VS. STATE OF GUJARAT [REFERRED TO]
ARASMETA CAPTIVE POWER COMPANY PRIVATE LIMITED VS. LAFARGE INDIA PRIVATE LIMITED [REFERRED TO]
ENERCON (INDIA) LTD. VS. ENERCON GMBH [REFERRED TO]
SUBRATA ROY SAHARA VS. UNION OF INDIA [REFERRED TO]
SHRI VIMAL KISHOR SHAH & ORS. VS. MR. JAYESH DINESH SHAH & ORS. [REFERRED TO]
A. AYYASAMY VS. A. PARAMASIVAM & ORS. [REFERRED TO]
M.D. FROZEN FOODS EXPORTS PVT. LTD. VS. HERO FINCORP LTD [REFERRED TO]
M/S. DURO FELGUERA, S.A. VS. M/S. GANGAVARAM PORT LIMITED [REFERRED TO]
HIMANGNI ENTERPRISES VS. KAMALJEET SINGH AHLUWALIA [OVERRULED]
INDIABULLS HOUSING FINANCE LIMITED VS. M/S. DECCAN CHRONICLE HOLDINGS LIMITED AND OTHERS [REFERRED TO]
ORIENTAL INSURANCE COMPANY LIMITED VS. M/S NARBHERAM POWER AND STEEL PVT. LTD. [REFERRED TO]
EMAAR MGF LAND LIMITED VS. AFTAB SINGH [REFERRED TO]
GARWARE WALL ROPES LTD VS. COASTAL MARINE CONSTRUCTIONS & ENGINEERING LTD [REFERRED TO]
MAYAVTI TRADING PVT. LTD. VS. PRADYUAT DEB BURMAN [REFERRED TO]



Cited Judgements :-

OLYMPIA INDUSTRIES LTD. VS. SUMILON INDUSTRIES LTD. [LAWS(BOM)-2022-1-127] [REFERRED TO]
GRACEWORKS REALTY & LEISURE PVT. LTD VS. MR. ZAHID HUSSAIN KHAN [LAWS(BOM)-2022-3-103] [REFERRED TO]
AMBEY MINING PVT. LTD. VS. WESTERN COALFIELDS LIMITED [LAWS(BOM)-2021-8-64] [REFERRED TO]
BXIN OFFICE PARKS INDIA PVT. LTD VS. KAILASA URJA PVT. LTD. [LAWS(BOM)-2022-8-80] [REFERRED TO]
V.B. COLD STORAGE PRIVETE LIMITED VS. BAJAJ ALLIANZ GENERAL INSURANCE COMPANY [LAWS(APH)-2021-9-31] [REFERRED TO]
CHUNDURU VISALAKSHI VS. CHUNDURU RAJENDRA PRASAD [LAWS(APH)-2022-4-27] [REFERRED TO]
RAJIA BEGUM VS. BARNALI MUKHERJEE [LAWS(CAL)-2021-9-70] [REFERRED TO]
LITE BITE FOODS PVT. LTD. VS. AIRPORTS AUTHORITY OF INDIA [LAWS(GJH)-2022-6-1505] [REFERRED TO]
M/S. TARUN AGGARWAL PROJECTS LLP VS. M/S. EMAAR MGF LAND LTD. [LAWS(DLH)-2021-12-80] [REFERRED TO]
SPML INFRA LTD. VS. NTPC LIMITED [LAWS(DLH)-2021-4-46] [REFERRED TO]
MAYANK AGRAWAL VS. JAIPRAKASH ASSOCIATES LIMITED [LAWS(DLH)-2021-9-298] [REFERRED TO]
STELLA INDUSSTRIES LTD VS. VERO MODA RETAILS PRIVATE LTD [LAWS(DLH)-2022-5-248] [REFERRED TO]
MUJEEB RAHMAN VS. HASEENA.V [LAWS(KER)-2022-6-63] [REFERRED TO]
BRIJ RAJ OBEROI VS. SECRETARY, TOURISM AND CIVIL AVIATION DEPARTMENT [LAWS(SC)-2022-8-61] [REFERRED TO]
GEMINI BAY TRANSCRIPTION PRIVATE LIMITED VS. INTEGRATED SALES SERVICE LIMITED [LAWS(SC)-2021-8-19] [REFERRED TO]
D. RAVINDER REDDY VS. C. GEETHANJALI [LAWS(TLNG)-2022-7-38] [REFERRED TO]
PRIYANKA COMMUNICATION(INDIA) PVT LTD VS. TATA CAPITAL FINANCIAL SERVICES LTD [LAWS(BOM)-2021-8-59] [REFERRED TO]
LINDSAY INTERNATIONAL PRIVATE LIMITED VS. LAXMI NIWAS MITTAL [LAWS(CAL)-2022-1-39] [REFERRED TO]
RELIANCE COMMERCIAL FINANCE LIMITED VS. AXIS BANK LIMITED [LAWS(CAL)-2021-3-79] [REFERRED TO]
D MARS HOSPITALITY PRIVATE LIMITED VS. NIVA INFRASTRUCTURE PRIVATE LIMITED [LAWS(GJH)-2022-8-379] [REFERRED TO]
ARMY WELFARE HOUSING ORGANIS VS. COL.R.GANESAN [LAWS(MAD)-2021-11-23] [REFERRED TO]
VARALAKSHMI STARCH INDUSTRIES (P.) LTD. VS. MAN ROLLO POWER GENERATION INDIA PRIVATE LIMITED [LAWS(MAD)-2021-8-103] [REFERRED TO]
FOODWORLD VS. INDIAN RAILWAY CATERING AND TOURISM CORPORATION LTD [LAWS(DLH)-2021-9-241] [REFERRED TO]
EPSILON EDUVENTURES PRIVATE LIMITED VS. BIKASH DASH [LAWS(DLH)-2022-5-10] [REFERRED TO]
JYOTI SARUP MITTAL VS. EXECUTIVE ENGINEER [LAWS(DLH)-2021-7-49] [REFERRED TO]
INTERCONTINENTAL HOTELS GROUP (INDIA) PVT. LTD. VS. WATERLINE HOTELS PVT. LTD [LAWS(SC)-2022-1-81] [REFERRED TO]
CG POWER AND INDUSTRIAL SOLUTIONS LTD. (FORMERLY CROMPTON GREAVES LTD.)] VS. U.P. POWER TRANSMISSION CORPORATION LTD. [LAWS(ALL)-2022-1-57] [REFERRED TO]
AGTEC INDUSTRIES PRIVATE LIMITED VS. NIKON SYSTEMS PRIVATE LIMITED [LAWS(ALL)-2021-9-129] [REFERRED TO]
ANHEUSER BUSCH INBEV INDIA LIMITED VS. EAST GODAVARI BREWERIES PRIVATE LIMITED [LAWS(KAR)-2021-3-89] [REFERRED TO]
COX AND KINGS LIMITED VS. SAP INDIA PRIVATE LIMITED [LAWS(SC)-2022-5-29] [REFERRED TO]
OOMMEN THOMAS PANICKER VS. MONICA CONSTRUCTION [LAWS(KER)-2021-9-57] [REFERRED TO]
BHARAT PETRORESOURCES LIMITED VS. JSW ISPAT SPECIAL PRODUCTS LIMITED [LAWS(DLH)-2022-2-59] [REFERRED TO]
JOHNSON CONTROLS-HITACHI AIR CONDITIONING INDIA LIMITED VS. MAHAMAYA INFRASTRUCTURE PRIVATE LIMITED [LAWS(DLH)-2022-2-232] [REFERRED TO]
JAIDEEP SINGH VS. GOVERNMENT OF NCT OF DELHI [LAWS(DLH)-2022-8-91] [REFERRED TO]
GOLDEN TOBIE PRIVATE LIMITED (FORMERLY KNOWN AS GOLDEN TOBIE LIMITED) VS. GOLDEN TOBACCO LIMITED [LAWS(DLH)-2021-6-40] [REFERRED TO]
HERO MOTOCORP LIMITED VS. R. K. MAHAJAN ENTERPRISES [LAWS(DLH)-2021-3-244] [REFERRED TO]
MANIKA SETT VS. SETT IRON FOUNDRY [LAWS(CAL)-2022-7-42] [REFERRED TO]
TIRUPATI SHOPPING CENTRE PREMISES VS. SHABAYESHA CONSTRUCTION COMPANY PRIVATE LIMITED [LAWS(BOM)-2021-4-98] [REFERRED TO]
VIVEK MEHTA VS. KARRS DESIGNS & DEVELOPMENTS [LAWS(BOM)-2022-2-125] [REFERRED TO]
TAPAN DAS VS. MAYASHEEL RETAIL INDIA LIMITED [LAWS(GAU)-2021-10-24] [REFERRED TO]
MOHAMMED MASROOR SHAIKH VS. BHARAT BHUSHAN GUPTA [LAWS(SC)-2022-2-9] [REFERRED TO]
HERO MOTO CORP LTD VS. UPPER INDIA TRADING CO. (DELHI) PVT LTD [LAWS(DLH)-2022-3-18] [REFERRED TO]
BANGA ELECTRONICS PVT LTD VS. JAGMOHAN SINGH [LAWS(DLH)-2021-5-59] [REFERRED TO]
IMZ CORPORATE PVT LTD VS. MSD TELEMATICS PVT LTD [LAWS(DLH)-2021-6-24] [REFERRED TO]
BSI-JDN JOINT VENTURE VS. BOARD OF TRUSTEES OF THE JAWAHARLAL NEHRU PORT TRUST [LAWS(BOM)-2022-6-72] [REFERRED TO]
PRAFUL A. MEHTA VS. NAINESH M. GANDHI [LAWS(BOM)-2022-2-259] [REFERRED TO]
PRAKASH ASKRAM JAIN VS. STATE OF MAHARASHTRA [LAWS(BOM)-2021-7-64] [REFERRED TO]
SUSHMA SHIVKUMAR DAGA VS. MADHURKUMAR RAMKRISHNAJI BAJAJ [LAWS(BOM)-2021-12-333] [REFERRED TO]
BRAHMAPUTRA INFRASTRUCTURE LTD. VS. ASSAM VEGETABLE & OIL PRODUCTS LTD. [LAWS(GAU)-2021-9-10] [REFERRED TO]
GLOBAL AGENCY VS. GENERAL MANAGER, SOUTH CENTRAL RAILWAY [LAWS(APH)-2021-10-52] [REFERRED TO]
ARCELOR MITTAL NIPPON STEEL INDIA LTD VS. ESSAR BULK TERMINAL LTD [LAWS(SC)-2021-9-42] [REFERRED TO]
AVANTHA HOLDINGS LTD VS. CG POWER AND INDUSTRIAL SOLUTIONS LTD [LAWS(DLH)-2021-12-241] [REFERRED TO]
RAJVEER SINGH VS. GOVERNMENT OF NCT OF DELHI PUBLIC WORKS DEPARTMENT CIVIL BUILDING MAINTENANCE DIVISION [LAWS(DLH)-2021-11-87] [REFERRED TO]
SHAPOORJI PALLONJI AND CO PVT. LTD. VS. RATTAN INDIA POWER LTD. [LAWS(DLH)-2021-4-62] [REFERRED TO]
WELSPUN ONE LOGISTICS PARKS FUND VS. MOHIT VERMA [LAWS(DLH)-2022-8-1] [REFERRED TO]
B.V.G. INDIA LTD. VS. STATE OF RAJASTHAN [LAWS(RAJ)-2022-2-34] [REFERRED TO]
TRILOKESH SMART HOMES VS. SANCHAYA LAND AND ESTATE PVT. LTD. [LAWS(KAR)-2022-7-756] [REFERRED TO]
SOBHA LIMITED VS. NAVA VISHWA SHASHI VIJAYA [LAWS(KAR)-2022-6-26] [REFERRED TO]
SUBBBA REDDY BADWELU VS. SRI ADITYA-VAMSIRAM HOMES LLP, HYDERABAD [LAWS(TLNG)-2021-6-31] [REFERRED TO]
MADRAS SPORTING YOUNGSTERS FOOTBALL CLUB VS. TAMIL NADU FOOTBALL ASSOCIATION [LAWS(MAD)-2022-1-119] [REFERRED TO]
DLF HOME DEVELOPERS LIMITED VS. RAJAPURA HOMES PRIVATE LIMITED [LAWS(SC)-2021-9-79] [REFERRED TO]
M/S. EMAAR INDIA LTD. VS. TARUN AGGARWAL PROJECTS LLP [LAWS(SC)-2022-9-142] [REFERRED TO]
PARSVNATH DEVELOPERS LTD. VS. FUTURE RETAIL LIMITED [LAWS(DLH)-2022-4-96] [REFERRED TO]
BIZIBI INFOTECH PVT LTD.(BIPL) VS. HCL INFOSYSTEM LTD. [LAWS(DLH)-2022-9-7] [REFERRED TO]
BIHAR HOME DEVELOPERS AND BUILDERS VS. NARENDRA PRASAD GUPTA [LAWS(PAT)-2021-7-33] [REFERRED TO]
PIGMENTS & ALLIEDS VS. CARBOLINE (INDIA) PRIVATE LIMITED [LAWS(BOM)-2022-2-208] [REFERRED TO]
GEO CHEM LABORATORIES PVT LTD VS. UNITED INDIA INSURANCE CO LTD [LAWS(DLH)-2021-5-152] [REFERRED TO]
ATUL AND ARKADE REALTY VS. I.A. AND I.C. PRIVATE LIMITED [LAWS(BOM)-2022-5-65] [REFERRED TO]
VR COMMODITIES PRIVATE LIMITED VS. NORVIC SHIPPING ASIA PTE. LTD [LAWS(APH)-2022-5-4] [REFERRED TO]
BARUA AND COMPANY PVT. LTD. VS. STATE OF ASSAM [LAWS(GAU)-2021-11-94] [REFERRED TO]
MD. NIZAMUDDIN AHMED VS. ON THE DEATH OF AHMED HOSSAIN HIS LEGAL HEIRS HABIBUL NESSA AND 6 ORS. [LAWS(GAU)-2022-3-25] [REFERRED TO]
SANJIV PRAKASH VS. SEEMA KUKREJA [LAWS(SC)-2021-4-6] [REFERRED TO]
EPSILON EDUVENTURES PRIVATE LIMITED VS. NIKHIL GOEL [LAWS(DLH)-2022-5-61] [REFERRED TO]
HERO ELECTRIC VEHICLES PRIVATE LIMITED VS. LECTRO E-MOBILITY PRIVATE LIMITED [LAWS(DLH)-2021-3-39] [REFERRED TO]
M/S BIHAR HOME DEVELOPERS AND BUILDERS VS. SHRI NARENDRA PRASAD GUPTA [LAWS(PAT)-2021-7-2] [REFERRED TO]
USP STUDIOS PVT. LTD VS. GANPATI ENTERPRISES [LAWS(BOM)-2022-8-87] [REFERRED TO]
SWAROOP SEN VS. AJAY KUMAR BORAL [LAWS(CAL)-2021-10-51] [REFERRED TO]
NANTU LAL DAS VS. ANJALI ESTATES AND DEVELOPERS [LAWS(CAL)-2022-5-64] [REFERRED TO]
RAJALAXMI MCKENNA VS. SANKARAN RAGHUNATHAN [LAWS(MAD)-2021-7-310] [REFERRED TO]
INDIAN OIL CORPORATION LIMITED VS. NCC LIMITED [LAWS(SC)-2022-7-76] [REFERRED TO]
TERRA INFRA DEVELOPMENT LIMITED VS. M/S. NCC LIMITED [LAWS(TLNG)-2022-6-98] [REFERRED TO]
PRAGATI CONSTRUCTION CONSULTANTS VS. UNION OF INDIA [LAWS(DLH)-2021-9-73] [REFERRED TO]
SWASTIK PIPE LTD VS. SHRI RAM AUTOTECH PVT LTD [LAWS(DLH)-2021-7-26] [REFERRED TO]
VEG SANCHAR VIHAR COOPERATIVE GROUP HOUSING SOCIETY LTD VS. SAPTRISHI BUILDERS PRIVATE LIMITED [LAWS(DLH)-2021-7-21] [REFERRED TO]
SOUTH INDIA BIBLICAL SEMINARY VS. INDRAPRASTHA SHELTERS PRIVATE LIMITED [LAWS(KAR)-2022-3-133] [REFERRED TO]
DIPAKKUMAR NATHABHAI PATEL VS. NARMADABEN DHIRAJLAL RADADIA [LAWS(GJH)-2022-8-808] [REFERRED TO]


JUDGEMENT

SANJIV KHANNA, J. - (1.)This judgment decides the reference to three Judges made vide order dated 28th February, 2019 in Civil Appeal No. 2402 of 2019 titled Vidya Drolia and Others v. Durga Trading Corporation, 2019 SCC OnLine SC 358 as it doubts the legal ratio expressed in Himangni Enterprises v. Kamaljeet Singh Ahluwalia, (2017) 10 SCC 706 that landlord-tenant disputes governed by the provisions of the Transfer of Property Act, 1882, are not arbitrable as this would be contrary to public policy.
(2.)A deeper consideration of the order of reference reveals that the issues required to be answered relate to two aspects that are distinct and yet interconnected, namely:
(i) meaning of non-arbitrability and when the subject matter of the dispute is not capable of being resolved through arbitration; and

(ii) the conundrum - "who decides" - whether the court at the reference stage or the arbitral tribunal in the arbitration proceedings would decide the question of non-arbitrability.

The second aspect also relates to the scope and ambit of jurisdiction of the court at the referral stage when an objection of non-arbitrability is raised to an application under Section 8 or 11 of the Arbitration and Conciliation Act, 1996 (for short, the 'Arbitration Act').

(3.)We are not reproducing and examining the factual matrix, as we are only answering the legal issues raised. However, we would refer, in brief, to the legal reasoning and the ratio in Himangni Enterprises and the counter view expressed in the order of reference in Vidya Drolia.
;


Click here to view full judgement.
Copyright © Regent Computronics Pvt.Ltd.