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September 16, 2019

India—Supreme Court holds non-signatory cannot be impleaded without establishing an intention to be bound by arbitration (Reckitt India v Reynders India)


This article was published in Lexis®PSL Arbitration on 24th July 2019


Summary

In this piece, Sahil Kanuga and Siddharth Ratho of the International Dispute Resolution and Investigations practice analyze and discuss a recent decision of the Supreme Court in Reckitt Benckiser (India) Pvt. Ltd. vs. Reynders Label Printing wherein the principles expounded in Chloro Controls on whether a non-signatory affiliate of a party to an arbitration agreement can be impleaded and subjected to arbitration were revisited. The Supreme Court inter alia held that a non-signatory without any causal connection with the process of negotiations preceding the arbitration agreement could not be made party to the arbitration and that circumstances and correspondence post execution of an arbitration agreement could not bind a non-signatory.

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Siddharth Ratho & Sahil Kanuga

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