In Brief
A South Korean bank (Shinhan Bank) sought to refer disputes with a property company to arbitration relating to a Leave and License agreement for office premises in Mumbai and an accompanying Amenities agreement. The respondent denied the existence of an arbitration agreement. The Supreme Court held that although the Amenities agreement (not the Leave and Licence agreement) contained the arbitration clause, the Amenities agreement expressly stated it was an integral part of the Leave and Licence agreement with all provisions applying. This express incorporation made the arbitration clause binding on both agreements. The Court rejected the argument that the petitioner should pursue remedies under Section 8 and directed reference of the disputes to arbitration, appointing a former Bombay High Court judge as arbitrator.
The lawyer headnote and full judgment text are available to registered users.