In Brief
Cox & Kings Ltd. sought appointment of an arbitrator under an arbitration agreement to resolve disputes with SAP India Pvt. Ltd., seeking to include SAP's German parent company (SAP SE GMBH), a non-signatory. The Supreme Court held that the referral court at Section 11(6) stage must only prima facie examine whether an arbitration agreement exists and cannot make complex determinations about whether non-signatories are bound by it. Such questions should be left to the arbitral tribunal under the competence-competence doctrine. The tribunal may apply legal doctrines and examine evidence to decide its jurisdiction over non-signatories, provided it grants natural justice. The petition was allowed and an arbitrator appointed.
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