M/S. Grasim Industries Ltd. And Anr vs M/S. Agarwal Steel

The Supreme Court held that the presumption of understanding applies when a person signs a document, as per the principles of the Arbitration and Conciliation Act, 1996. The Court found that the High Court erred in accepting the respondent's claim of signing under mistake regarding document Ex.D-8, which was a joint statement of account. The appeal was allowed, the High Court's judgment was set aside, and the matter was remanded for expeditious disposal, with all other questions of law and fact remaining open.