#Non-Compete Clause

The Bombay HC granted an interim injunction under Section 9 of the Arbitration Act, restraining non-signatory associate Udayak Agro from ‘SURE’ water and confidential information, applying Section 9 to indirect breaches and setting a 4-week disclosure deadline.

The Bombay High Court has ruled that parties to a joint venture cannot invoke confidentiality obligations to withhold material contracts from an arbitral tribunal when those contracts are central to enforcing non-compete restrictions. This clarifies that contractual secrecy yields to procedural fairness in arbitration, directly impacting investors and promoters bound by exclusive territorial agreements under the Arbitration and Conciliation Act.