M/S.GROUPE CHIMIQUE TUNISIEN SA vs M/S.SOUTHERN PETROCHEMICALS IND.COR.LTD.

The Supreme Court ruled on a petition under Section 11(4) of the Arbitration and Conciliation Act, 1996 for the appointment of an Arbitral Tribunal to resolve disputes arising from unpaid invoices totaling US $ 1,50,15,913.38. The Court held that the existence of an arbitration agreement, as stipulated in Clause 15 of the Fertilizer Association of India terms, was valid despite the respondent's previous denial in Jordanian courts. The Court emphasized that the arbitration clause must be honored, leading to the appointment of an arbitrator to adjudicate the claims.