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Supreme Court of India 2025-08-13 allowed

KAMAL GUPTA & ANR. vs M/S L.R. BUILDERS PVT. LTD & ANR. ETC

Bench: 2 — Pamidighantam Sri Narasimha, Atul S. Chandurkar

In Brief

In this case, a family settlement dispute arose between Pawan Gupta and Kamal Gupta after oral and written agreements. Rahul Gupta, son of Kamal and a non-signatory to the settlement deed, sought permission to remain present during arbitration proceedings and access arbitral documents. The Supreme Court held that non-signatories to an arbitration agreement cannot participate in or observe arbitration proceedings, as arbitral awards bind only parties to the agreement. Once an arbitrator is appointed, the court loses further jurisdiction. Allowing non-signatories would breach confidentiality requirements and exceed judicial authority under the Arbitration Act. The Court set aside the lower court's permission and emphasised that the Arbitration Act is a self-contained code permitting only minimal judicial intervention.

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Arbitration Law Non-Signatories to Arbitration Agreements Judicial Intervention in Arbitration Arbitrator Appointment Arbitral Confidentiality Civil Procedure

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