Topic

Dispute Resolution

4 articlesLatest April 2026
Section 7 Arbitration Act | Use of 'Can' in Arbitration Clause Indicates Permissive, Not Mandatory, Dispute Resolution : SC
Case Law Analysis
|Supreme Court of India

Section 7 Arbitration Act | Use of 'Can' in Arbitration Clause Indicates Permissive, Not Mandatory, Dispute Resolution : SC

The Supreme Court holds that arbitration clauses using the word 'can' express possibility, not obligation, and therefore fail to satisfy the mandatory language required under Section 7 of the Arbitration and Conciliation Act, 1996. This clarifies that party autonomy demands unequivocal intent - businesses must draft arbitration clauses with 'shall' or 'must' to ensure enforceability, affecting thousands of commercial contracts with ambiguous dispute resolution language.

Mandatory Arbitration Clause Ousts Writ Jurisdiction Under Article 226 | Concession Agreement Dispute : Uttarakhand HC
Case Law Analysis
|Uttarakhand High Court

Mandatory Arbitration Clause Ousts Writ Jurisdiction Under Article 226 | Concession Agreement Dispute : Uttarakhand HC

The Uttarakhand High Court ruled that disputes under a concession agreement containing a mandatory arbitration clause must be resolved through arbitration, barring writ petitions under Article 226. The judgment reinforces the primacy of contractual arbitration clauses in commercial disputes, impacting parties bound by similar agreements.