ENFORCING THE UNSTAMPED: AN ANALYSIS ON THE VALIDITY AND ENFORCEMENT OF UNSTAMPED ARBITRATION AGREEMENTS UNDER INDIAN LAW

AUTHOR – JOHANNA CLEMENTIA R & AKSHY VARSHANTH B, STUDENTS AT CHRIST (DEEMED TO BE UNIVERSITY), BANGALORE

BEST CITATION – JOHANNA CLEMENTIA R & AKSHY VARSHANTH B, ENFORCING THE UNSTAMPED: AN ANALYSIS ON THE VALIDITY AND ENFORCEMENT OF UNSTAMPED ARBITRATION AGREEMENTS UNDER INDIAN LAW, INDIAN JOURNAL OF LEGAL REVIEW (IJLR), 4 (1) OF 2024, PG. 623-634, APIS – 3920 – 0001 & ISSN – 2583-2344

Abstract:

The evolution of legal interpretation regarding the interplay between arbitration agreements and stamp laws in India has been marked by complex jurisprudential shifts. This paper examines the landmark ruling of the Indian Supreme Court in “In Re: The Interplay between Arbitration Agreements under the Arbitration and Conciliation Act, 1996, and the Indian Stamp Act, 1899” (“In Re: The Interplay”), which provided clarity on the admissibility and enforceability of arbitration agreements within inadequately stamped instruments. It traces the historical evolution of jurisprudence on unstamped arbitration agreements, highlighting seminal cases such as SMS Tea Estates v. Chandmari Tea Co. Pvt. Ltd. and N.N. Global Mercantile Pvt. Ltd. v. Indo Unique Flame Ltd. (NN Global 2). A paradigm shift occurred with the N.N. Global Mercantile case (NN Global 1) in 2021, emphasizing the autonomous nature of arbitration agreements. This paper analyzes the implications of these legal developments and their significance in fostering investor confidence and enhancing alternative dispute resolution mechanisms in India. Keywords: arbitration agreements, stamp laws, jurisprudential evolution, Indian judiciary, landmark ruling, doctrinal clarity, legal conundrum, Supreme Court, enforcement mechanisms, statutory compliance, alternative dispute resolution.

Keywords: arbitration agreements, stamp laws, jurisprudential evolution, Indian judiciary, landmark ruling