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Cheran Properties Limited vs Kasturi & Sons Limited & Ors on 5 July, 2017

In Cheran Properties (Supra), the Supreme Court was dealing with the group of companies Doctrine in the context of binding a non-signatory to arbitration agreement. In that context, the Court observed that, an arbitration agreement which is entered into by a company within a group of companies, may bind non- signatory affiliates, if the circumstances are such as to demonstrate the mutual intention of the parties to bind both signatories and non-signatories. In applying the doctrine, the law seeks to enforce the common intention of the parties, where circumstances indicate that both signatories and non-signatories were intended to be bound. In the instant case, ESIC is an entity separate and distinct from the Respondent and therefore, the submission of the Respondent is devoid of merit. the present petitions deserve to be allowed.
National Company Law Appellate Tribunal Cites 0 - Cited by 43 - Full Document
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