Delhi High Court

Scope of Section 11 Scrutiny Limited to Prima Facie Examination of Arbitration Agreement Existence

Rajeev Uppal vs M/S Devbaksh Properties Private Limited

Delhi High CourtJUDGMENT: May 26, 20262 MIN READSOURCE JUDGMENT
THE ORIGINAL LAWLENS SUMMARY
01

Facts

The Petitioner filed a petition under Section 11(6) of the Arbitration and Conciliation Act, 1996, seeking the appointment of a Sole Arbitrator based on Clause 24 of a Rent Agreement dated 04.12.2024

Source reference: p. 1

The Petitioner invoked arbitration via notice under Section 21 on 09.10.2025

Source reference: p. 2

The Respondent opposed the petition, contending that no arbitrable disputes existed between the parties

Source reference: para. 3

The underlying value of the dispute is approximately Rs. 25 lakhs

Source reference: para. 7
02

Issues

1. Whether the Court, while exercising jurisdiction under Section 11(6) of the Act, can adjudicate upon the existence of "arbitrable disputes" or must confine itself to the existence of the arbitration agreement

Source reference: para. 5

2. Whether a Sole Arbitrator should be appointed to resolve the disputes arising from the Rent Agreement

Source reference: para. 6
03

Law Applied

The Court applied Section 11(6) and 11(6-A) of the Arbitration and Conciliation Act, 1996, which governs the appointment of arbitrators

Source reference: p. 1-3

Judicial interference under Section 11 is confined strictly to a prima facie examination of the existence of the arbitration agreement

Source reference: para. 113

Issues of "accord and satisfaction," non-arbitrability, or "frivolous disputes" to the Arbitral Tribunal under the principle of competence-competence and Section 16 of the Act

Source reference: para. 114, 119, 128
04

Reasoning

The Court reasoned that its role at the Section 11 stage is purely "facilitative and procedural"

Source reference: para. 5

Following the mandate in Krish Spg., the Court held that it must not embark upon a "laborious enquiry" into contested facts or the merits of the dispute, as such actions would undermine arbitral autonomy

Source reference: para. 114, 121

Since the existence of the Rent Agreement and the validity of the arbitration clause (Clause 24) were not in doubt, and Section 21 notice was served, the statutory requirements were met

Source reference: para. 6

The Respondent's objection regarding the non-existence of arbitrable disputes was dismissed as a matter to be "ruled" upon by the Arbitrator under Section 16, rather than "examined" by the Referral Court

Source reference: para. 114, 120
05

Holding

The Court allowed the petition, holding that once a valid arbitration agreement exists prima facie, the Court must appoint an arbitrator

The Court appointed Mr. Kumar Utkarsh, Advocate, as the Sole Arbitrator under the aegis of the Delhi International Arbitration Centre (DIAC)

Source reference: para. 8-9

The Arbitrator is directed to provide disclosures under Section 12(2), and the parties are to share costs equally

Source reference: para. 10, 12

All contentions regarding the merits of the claims were kept open for the Arbitrator’s adjudication

Source reference: para. 13
Delhi High Court

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Rajeev UppalvsM/S Devbaksh Properties Private Limited

Delhi High Court · May 26, 2026

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