M/s. Om Enterprises had independent clients to whom it provided its courier services.

For every
courier consigned from its client, M/s. Om Enterprises paid 45% of the total proceeds as
commission to M/s. DTDC Express Pvt. Ltd. Eventually this was turned into an agreement and
the said payments were made on a monthly basis under it i.e. M/s. DTDC Express Pvt. Ltd. was
to be paid its 45% share in the revenue for the couriers consigned in the preceding month. It is
pertinent to note that there was no arbitral clause present in the agreement.

As it so happened, some of the clients of M/s. Om Enterprises defaulted on their payments which
resulted in losses for M/s. Om Enterprises. This led to default in paying the agreed commission
to M/s. DTDC Express Pvt. Ltd. Accordingly, negotiations followed between the parties wherein
M/s Om Enterprises conveyed its financial difficulties and assured M/s DTDC that terms of the
agreement would be duly honoured once Om enterprise realizes its payments from its clients.
There was no certain date mentioned to realize the payment.

The matter was now settled and quiet. But recently in year 2021, Om enterprise (through its sole
proprietor Ms. Nisha) received summons from Dwarka District Courts Complex to appear and
defend enforcement of an arbitral award of Rs. 3.5L passed against it.

Ms. Nisha was shocked and surprised to see that an arbitral award had been passed against her
owing to non-payment of the commission of M/s. DTDC Express Pvt. Ltd. Accordingly, she
approached the NLIU Legal Aid Clinic for legal help and an advocate was assigned to her to
defend her case before the Dwarka District Court.

The said advocate filed objections (under Code of Civil Procedure, 1908) to the aforesaid
arbitral award and resisted its execution on the grounds including but not limited to:

a. The decree is a fraudulent one as is passed in violation of principles of natural justice.

b. The decree is passed without jurisdiction.

c. The decree is patently illegal and is liable to be set aside.

ISSUES

After preliminary hearing, the Ld. Judge directed the parties to present a brief submission on the
following issues and argue the same:

1. Whether an executing court can go behind an arbitral award which is a decree in terms of
Section 36 of the A&C Act, 1996?

2. Whether the objections filed under the Code of Civil Procedure, 1908 are maintainable in a
petition for enforcement of an arbitral award?

3. Whether the objections as pleaded by the counsel for JD are tenable in law as well as facts?

The matter is now posted for final hearing on __/__/__ and no adjournment shall be

granted. In case any party fails to appear, it shall be proceeded ex-parte.