Shyam Sunder Agarwal vs P. Narotham Rao

The Supreme Court examined whether Clause 12 of a Memorandum of Understanding (MoU) constituted a valid arbitration agreement under the Arbitration and Conciliation Act, 1996. The Court held that the language of Clause 12, which included terms like 'decision' and 'Mediators/Arbitrators', indicated an intention to resolve disputes through arbitration, thus fulfilling the essential criteria for an arbitration clause. The appeal was allowed, affirming the binding nature of the arbitration agreement as per the MoU.