The Supreme Court had referred the question whether the issues between Landlord and Tenant as per the provisions of Transfer of Property Act is arbitrable or not to a larger bench in view of the Judgement rendered in the case of Himangni Enterprises v. Kamaljeet Singh Ahluwalia, (2017) 10 SCC 706. The Supreme Court, after analyzing the provisions of Section 111 and 114 & 114A of Transfer of Property Act, 1882 and the Judgments in in Natraj Stu- dios (P) Ltd. vs. Navrang Studios, (1981) 1 SCC 523 and Booz Allen & Hamilton Inc. vs. SBI Home Finance Ltd , had differed with the preposition held in Himangni Enterprises. The Supreme Court had also observed that there is no express bar in the Transfer of Property Act to refer the matter for arbitration. Earlier decisions in Natraj Studios and Booz Allen, the provisions of Transfer of Property Act had not been discussed and the view taken in Himangni as regards the Transfer of Property Act with reference to arbitrability cannot be acceptable and it requires to be revisited. So, the Supreme Court had referred the aforesaid issue to a larger bench, however it lifts the stay of Arbitration proceedings in the case on hand and allow the parties to proceed with the Arbitration, but the execution of Award is subject to the permission of Supreme Court.
Read the Judgment here
Landlord- Tenant - Arbitrable
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