M/S.Essar Oil Ltd vs Hindustan Shipyard Ltd. & Ors

The Supreme Court addressed the arbitration dispute between M/s Essar Oil Ltd. and Hindustan Shipyard Ltd. regarding non-payment for subcontracted work under a contract with the Oil and Natural Gas Commission (ONGC). The Court upheld the Arbitral Tribunal's majority decision that there was no privity of contract between Essar and ONGC, thus ONGC was not liable for payments to Essar. The Court confirmed that the liability rested solely with Hindustan Shipyard Ltd., affirming the Tribunal's award and the arbitration agreement's validity.