TAMILNADU ELECTRICITY BOARD vs M/S.BRIDGE TUNNEL CONSTRUCTION CO.

The Supreme Court addressed the issue of arbitrability of disputes under the Arbitration Act, 1940, specifically under Section 33. The Court held that the scope of the arbitration clause must be determined by the arbitrators, and if a dispute is found to be outside this scope, the parties retain the right to seek remedies through the courts. The Court upheld the Madras High Court's decision to allow the appointment of an arbitrator despite the appellant's objections regarding the claims' arbitrability, thereby affirming the validity of the arbitration process initiated by the respondent.