• Irrational delay in arbitration process

I have an arbitration case ongoing with axis bank. Last year November I had filed my response to the arbitration notice, detailing with evidences how they had tried to dupe me in a personal loan transaction and upon urging them to set it right, instead of working on their system lacuna they unleashed their gang of goons on me. They also started targeting my social reputation by calling my various colleagues and friends. Since the filing of this response, axis bank has been only delaying the process on some pretext or the other. The sole arbitrator has also been lenient in his approach towards them and inspire of a verbal assurance (also loosely mentioned so in Roznama of March ‘19) of closing this matter by April - May, has been simply grating all the liberties and time flexibility to axis bank. Clearly the process is not being conducted in the fairness that it should be. What should be my next steps here? 

The loan agreement was signed and executed in hyderabad while the arbitration process is ongoing at Mumbai. Can I approach consumer court in hyderabad citing irrational delays to arbitration process, pleading for the case to be taken up at the consumer forum? Or is it mandatory to wait for the arbitration process to conclude? Also, if waiting for the ongoing process to conclude, can I initiate an appeal in hyderabad consumer court or high court, or does it need to be in mumbai ? Any other expert insight to handle the situation will also be appreciated.

Thanks
Asked 6 years ago in Civil Law

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14 Answers

You cannot file complaint before consumer forum during pendency of arbitration proceedings 

 

2) wait for arbitration proceedings to conclude 

 

3) any appeal had to be filed in Mumbai as jurisdiction as per agreement lies in Mumbai only 

Ajay Sethi
Advocate, Mumbai
99775 Answers
8145 Consultations

If the arbitration is not being conducted fairly approach the high court under relevant sections of the arbitration and conciliation act# 1996.

After the amendment there Re various schedules under which an arbitrator can be removed if any of those grounds exist.

Regards 

Rahul Mishra
Advocate, Lucknow
14114 Answers
65 Consultations

Consumer courts aren't appellate bodies against orders of other tribunals. You must move the High  Court of Bombay pleading for writ of mandamus or certiorari against the arbitrator. 

I'm prepared to handle this as your counsel. You need to visit my office first (I'ma based in Mumbai). So take appointment.

Netra Mohanchandra Pant
Advocate, Navi Mumbai
1590 Answers
5 Consultations

See since the arbitration case is going on consumer court shall not take up the matter you should wait till arbitration is over, you can plead before arbitrator to expedite the matter.

See pending arbitration no other forum shall entertain the matter wait for it to conclude then file appeal.

Shubham Jhajharia
Advocate, Ahmedabad
25513 Answers
179 Consultations

1. To expedite the trial of the arbitration case you can file a writ petition in high court.

2. Since arbitration case and consumer case can go on simultaneously . So you can file case in consumer case wherein the remedy is speedier and  most efficacious.

3. So without further delay file the case before the consumer forum. 

Devajyoti Barman
Advocate, Kolkata
23653 Answers
537 Consultations

Hi, 

In the present circumstances, the correct approach would to file cases under arbitration and conciliation act in the district court at Mumbai and project the faults of arbitrator, pray for other independent arbitrator and time bound proceedings.

Ganesh Singh
Advocate, New Delhi
7169 Answers
16 Consultations

You file a consumer complaints and seek compensation for the same also includes arbitration fees in the said compensation amount indirectly

Prashant Nayak
Advocate, Mumbai
34514 Answers
249 Consultations

MY OPINION THAT during arbitration proceedings you have to wait till end.

 

Mohammed Mujeeb
Advocate, Hyderabad
19325 Answers
32 Consultations

You can approach consumer court for unfair trade practise adopted by bank but not against arbitrator. If you are doubtful about the fairness of arbitrator, can appaoch HC for change of arbitrator but that will cost you time and money.

Who has evoked arbitration, you or bank. Court have jurisdiction where loan agreement was executed.

Yogendra Singh Rajawat
Advocate, Jaipur
23079 Answers
31 Consultations

The arbitrator has been appointed by the bank, hence you cannot expect a fair treatment or justice from him.

You can approach civil court with an injunction suit agaisnt this arbitration proceedings on the basis of their biased conduct provided you have substantial evidence for that.

If the goons in the name of recovery agents are torturing you then you can give a complaint against them with the local police.

An appeal against the arbitration award can be filed in the same jurisdiction where the proceedings were conducted.

No case will be maintainable in the consumer forum in this regard.

T Kalaiselvan
Advocate, Vellore
89976 Answers
2492 Consultations

Whenever there exists the alternative remedies no court will interfere in the matters like you so please wait for the process of arbitration be completed and then go to any other competent court.

Koshal Kumar Vatsa
Advocate, Gurgaon
2282 Answers
3 Consultations

Dear Client 

You can file a petition in high court for challenging the appointment of arbitrator and delay caused in arbitration proceedings as I this act was meant for quick solution of disputes between the parties and this unnecessary delay is causing harm to justice.

And this petition should be filed in the high court of Maharashtra because arbitration proceedings are going on in Mumbai. 

Mohit Kapoor
Advocate, Rohtak
10686 Answers
7 Consultations

Dear Sir,

You may contest the arbitration proceedings saying that Mumbai as no territorial jurisdiction. If any order is passed you can challenge the same before the Civil Court and thus you can get more and more time.

Kishan Dutt Kalaskar
Advocate, Bangalore
6230 Answers
499 Consultations

  1. As per the information mentioned in the present query, makes it clear that you have been targeting by the bank without even knowing the outcome of the same.
  2. Either matter is pending in arbitration or court or client is not paying the amount (according to them only), the bank can’t use he force.
  3. You should first file a case against bank under both criminal for penal action and civil suit for compensation.
  4. Now, you will be appealing against he order of the arbitrator for sure and in your city only if goes against you.
  5. But, for now you can also approach the Hon’ble High Court of your state for changing the arbitrator and direct them to follow the law by filing a Writ petition.

Sanjay Baniwal
Advocate, South Delhi
5477 Answers
13 Consultations

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