SHIN-ETSU CHEMICAL CO. LTD. vs M/S.AKSH OPTIFIBRE LTD.

The Supreme Court interpreted Section 45 of the Arbitration and Conciliation Act, 1996, determining that a judicial authority must refer parties to arbitration unless it finds the arbitration agreement to be null and void, inoperative, or incapable of being performed. The Court held that the authority should make a prima facie determination regarding the validity of the agreement, allowing for further examination in arbitration. This judgment clarifies the procedural obligations of judicial authorities in arbitration matters under Indian law.