Facts
The Petitioner and Respondent are equal partners in M/s Agronext Ventures LLP.
Source reference: para. 2Following a partnership dispute, the Respondent initiated arbitration proceedings on 10.10.2023 for money recovery and the Petitioner’s expulsion.
Source reference: para. 2During the proceedings, the Petitioner sought to introduce additional documents as secondary evidence, specifically a police closure report dated 04.12.2023 and an NCLT order dated 25.07.2025.
Source reference: para. 4The sole arbitrator passed impugned orders on 26.06.2025 and 13.02.2026 rejecting these applications on the grounds of irrelevance.
Source reference: paras. 1, 4The Petitioner challenged these interlocutory orders before the High Court under Article 227 of the Constitution of India.
Source reference: para. 6Issues
Whether the High Court should exercise its jurisdiction under Article 227 of the Constitution to interfere with interlocutory orders passed by an Arbitral Tribunal regarding the admissibility of evidence.
Source reference: para. 6-7Law Applied
The Court applied the principle of minimal judicial interference in arbitral proceedings under Article 227 of the Constitution of India.
Source reference: para. 6Article 227 jurisdiction against interlocutory arbitral orders is reserved only for "palpable illegality" to prevent the reintroduction of traditional litigation mechanisms into private ADR.
Source reference: para. 7Intermittent challenges to arbitral orders are not envisaged by the Arbitration and Conciliation Act, 1996 (A&C Act), except as provided under Section 37; otherwise, aggrieved parties must wait to challenge "in-between" orders under Section 34 after the final award is passed.
Source reference: para. 8Reasoning
The Court reasoned that since arbitration is a voluntary, private adjudicatory system chosen by parties to opt out of conventional court mechanisms, the judiciary must not "casually" entertain writs against interlocutory orders.
Source reference: para. 7The Court observed that the scope of Article 227 in such matters is minimal and found no justification for interference at this interlocutory stage.
Source reference: para. 6The Court emphasized that the Petitioner is not left without a remedy, as any grievance regarding the rejection of evidence can be agitated under Section 34 of the A&C Act once the final award is pronounced.
Source reference: para. 9Consequently, the Court found the Petitioner’s submissions insufficient to warrant an exception to the rule of non-interference.
Source reference: para. 10Holding
The Court answered the issue in the negative, holding that there was no justification to interdict the arbitrator's orders at this stage.
The petition was dismissed. The Petitioner was granted liberty to challenge the correctness of the impugned orders under Section 34 of the A&C Act if they remain aggrieved by the final award.
Source reference: paras. 9, 10Original Court PDF
Manoj RastogivsNeeraj Srivastava
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