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Dhara Motor Finance Ltd vs. Mohammad Shahid and Ors

Arbitration Petition · CNR No. DLHC010149562026Decided 22 Sept 2026New Delhi Bench
ARB.P. 645/2026CNR: DLHC010149562026
Justice Om Prakash Shukla

Background

Dhara Motor Finance had filed a petition seeking appointment of an arbitrator to resolve a dispute with the respondents. Before the matter could be decided on merits, the parties resolved the underlying dispute between themselves.

Decision Breakdown

Counsel for the petitioner informed the Court that the matter had already been settled between the parties and sought leave to withdraw the petition. The Court permitted the withdrawal and dismissed the petition as withdrawn, along with any pending applications.

Lesson Learnt

Parties who settle their dispute directly, without going through arbitration, can simply withdraw a pending court petition for appointment of an arbitrator: there's no need to continue formal legal proceedings once the underlying dispute is resolved.

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