Bombay High Court
SUBHASH S. GOEL AND ANRversusBHARAT M. NAGORI AND ORS
- Decided
- Disposal
- Disposed Off
Holding
The Court held that there is no ground for interference and dismissed the petition.
Summary
The petitioners challenged a May 2, 2026 order of a Sole Arbitrator who rejected their application to decide the dissolution of their partnership firm as a preliminary issue. They alleged that they were denied an effective hearing before the rejection. The Arbitrator noted that the issue required evidence and could not be decided on pleadings alone, effectively declining to pass a preliminary award. The High Court, exercising its limited writ jurisdiction, found no perversity or denial of remedy warranting interference, citing the principle that courts intervene in arbitral proceedings only in rare cases. Consequently, the Court dismissed the petition.
Issues considered
- Whether the Sole Arbitrator erred in rejecting the petitioners' application to decide the partnership dissolution as a preliminary issue without affording a hearing.
- Whether the High Court should interfere with the arbitral order under its limited writ jurisdiction.
Subjects
- Arbitration
- Preliminary award
- Partnership dissolution
- Writ jurisdiction
- Interference with arbitral award
- Procedural fairness
Judgment
31-WP10964-2026.DOC
Santosh
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
CIVIL APPELLATE JURISDICTION
WRIT PETITION NO. 10964 OF 2026
Subhash S. Goel And Anr ...Petitioners
Versus
Bharat M. Nagori And Ors …Respondents
Mr. Aman Dutta a/w Mr. Hitanshu Patil, Ms. Teena Kapoor i/b
Mr. Vinayak Pandit, for the Petitioners.
Mr. Pankaj J. Das, for the Respondents.
SANTOSH
SUBHASH
KULKARNI CORAM: N. J. JAMADAR, J.
Digitally signed by
SANTOSH SUBHASH
KULKARNI
DATED: 28th SEPTEMBER, 2026
Date: 2026.09.29
14:57:05 +0530
Oral Order:-
1. Heard the learned Counsel for the petitioner.
2. The challenge in this petition is to an order dated 2 nd May,
2026 passed by the learned Sole Arbitrator, whereby an
application preferred by the petitioners to decide issue No.1
regarding dissolution of the partnership firm and the date of its
dissolution as a preliminary issue, came to be rejected.
3. The learned Counsel for the petitioners submitted that,
the learned Arbitral Tribunal did not provide an effective
opportunity of hearing to the petitioners before rejecting the
application for deciding the issue of dissolution of the firm as a
preliminary issue.
1/3
31-WP10964-2026.DOC
4. In paragraph 5 of the impugned order, the Arbitral
Tribunal has recorded in no uncertain terms that, in the facts of
the case, the issue of dissolution of the partnership firm cannot
be decided as a preliminary issue based on the pleadings and
submissions, and evidence is required to decide the said issue.
This Court also finds that, it was the contention of the
petitioners that the Arbitral Tribunal may pass preliminary
award upon the determination of the issue of dissolution of
partnership firm as a preliminary issue. If that is the case, the
impugned order takes the character of an order which declines
to pass a preliminary award.
5. In any event, this Court in exercise of a limited writ
jurisdiction does not find any reason to interfere with the
impugned order as neither the petitioners are rendered
remediless nor the perversity in the impugned order stares in
the face. It is only in case of rarity, the Writ Court is expected
to interfere the arbitral process during its pendency. (Deep
Industries Ltd. vs. Oil and Natural Gas Corporation Limited and
another1, Bhaven Construction, through Authorised Signatory
Premjibhai K. Shah vs. Executive Engineer, Sardar Sarovar
Narmada Nigam Limited and Another2 and Delhi Airport Metro
1 (2020) 15 SCC 706.
2 (2022) 1 SCC 75.
2/3
31-WP10964-2026.DOC
Express Private Limited vs. Delhi Metro Rail Corporation
Limited3.)
6. The aforesaid being the position in law, this Court is not
inclined to entertain the petition.
7. The petition stands dismissed.
[N. J. JAMADAR, J.]
3 (2022) 1 SCC 131.
3/3
Checking your session…
Lawyer court records for this case
Associated through the court’s case reference.