Bombay High Court
HDFC BANK LTDversusSALIM MOHMMED SIDDIQUE
- Decided
- Disposal
- WITHDRAWN
- Bench
- RAJESH S PATIL
Holding
The arbitral award is declared void ab initio and non‑executable.
Summary
The High Court considered an execution application filed by HDFC Bank Ltd. based on an arbitral award whose arbitrator had been appointed unilaterally. The applicant sought to withdraw the execution proceeding and obtain liberty to commence fresh arbitration. Relying on the Supreme Court’s decision in Bhadra International (India) Pvt. Ltd. v. Airport Authority of India, the Court held that an award can be set aside at the execution stage if the arbitrator’s appointment was unilateral, rendering the award void ab initio. Accordingly, the Court declared the award non‑existent in law, non‑executable and ordered the execution application to be withdrawn. The parties were permitted to initiate fresh arbitration proceedings, and the period spent in the earlier arbitration was excluded from the limitation clock.
Issues considered
- Whether an arbitral award can be set aside at the execution stage on the ground that the arbitrator was appointed unilaterally.
- Whether the execution of such an award is permissible.
- Effect of the Supreme Court’s ruling in Bhadra International (India) Pvt. Ltd. v. Airport Authority of India on pending execution proceedings.
Subjects
- arbitration
- arbitral award
- void ab initio
- unilateral appointment
- execution of award
- limitation
- fresh arbitration
Judgment
Vivekanand
1/2
118-EXA-777-2019.doc
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
ORDINARY ORIGINAL CIVIL JURISDICTION
EXECUTION APPLICATION NO. 777 OF 2019
WITH
NOTICE NO. 159 OF 2019
IN
EXECUTION APPLICATION NO. 777 OF 2019
HDFC BANK LTD. ….. APPLICANT
VERSUS
SALIM MOHMMED SIDDIQUE ….. RESPONDENT
Ms. Bijal Gogri i/by OM Gujar Law Chamber, Advocate for the
Applicant.
CORAM : RAJESH S. PATIL, J.
DATE : 9th MARCH, 2026
P.C. :-
1) Ms. Gogri, learned counsel appearing for the claimant
submits that the execution proceedings arise out of an Arbitral Award,
where the Arbitrator’s appointment was unilateral. Hence, she on
instructions of her client seeks leave to withdraw the present
execution application, with liberty to initiate fresh arbitration
proceedings.
2) I have taken a view in the judgment of L & T Finance Ltd.
vs. Sangeeta Bhansali & Anr. in Commercial Execution Application (L)
No. 5277 of 2022, considering the latest judgment of the Supreme
Vivekanand
2/2
118-EXA-777-2019.doc
Court decided on 5 January, 2026, in the matter of Bhadra
International (India) Pvt. Ltd. and others vs. Airport Authority of
India, Civil Appeal No. 37-38 of 2026, wherein it has been held that
even at the stage of execution, an arbitral award can be set aside
being void-ab-initio on the grounds that the appointment of the
arbitrator was unilateral.
3) Leave and liberty as prayed for, is granted.
3.1) The Arbitral Award which is subject matter of the present
proceedings is hereby declared to be non-est in law, non-executable
and void-ab-initio.
4) Execution Application stands disposed of as withdrawn.
5) In sequel, the Interim Applications, if any, also stand
disposed of.
6) It shall be open for the parties to initiate fresh arbitration
proceedings in accordance with law.
7) As far as limitation is concerned, the period from the
invocation of the arbitration till today shall stand excluded for the
purpose of initiating fresh arbitration proceedings.
(RAJESH S. PATIL, J.)
Checking your session…
Lawyer court records for this case
Associated through the court’s case reference.