CA Deepak Gupta vs. CA Shubham Jain
Background
Two Chartered Accountants were in a commercial dispute covered by a valid arbitration agreement between them. Rather than go straight to arbitration, both sides jointly asked the Court to first refer their dispute to mediation.
Decision Breakdown
The Court sent the matter to the Delhi High Court's Mediation and Conciliation Centre (SAMADHAN) for three weeks, while simultaneously appointing a named Sole Arbitrator to take over if mediation fails, so the arbitration process can begin immediately without a second round of court proceedings, subject to the arbitrator's standard independence disclosures and the Delhi International Arbitration Centre's rules and fees.
Lesson Learnt
Even in commercial arbitration matters, courts actively encourage parties to attempt mediation first, while keeping arbitration ready as an immediate fallback rather than causing delay if settlement talks don't work out.