BIHAR STATE MINERAL DEV. CORPN. vs ENCON BUILDERS (I) P.LTD

The Supreme Court addressed an appeal against the High Court's dismissal of an arbitration appeal under Section 39(1)(i) of the Arbitration Act, 1940. The Court held that the arbitration agreement was invoked improperly as the respondent failed to fulfill contractual obligations, leading to losses for the appellants. The Court emphasized that the Managing Director's discretion in terminating the agreement was valid and the arbitration clause did not apply due to the lack of proper invocation of the dispute resolution process.