Case Law Analysis
|Bombay High Court
Section 9 Arbitration Act | Injunction to Restrain Asset Disposal Does Not Authorize Bank Account Freezing : Bombay HC
The Bombay High Court clarifies that an injunction under Section 9 of the Arbitration Act is a negative restraint on disposal, not an order for attachment or freezing of bank accounts. Misinterpreting such orders as authority to freeze accounts invites contempt, as it disrupts legitimate business operations and exceeds the statutory purpose of asset preservation.