Ranjit Kumar Bose v. Anannya Chowdhury
Background
Landlords sued shop tenants for eviction and associated monetary relief after terminating their tenancy in Kolkata. The tenants invoked an arbitration clause in their agreement, and the High Court directed that the dispute be referred to arbitrators.
Decision Breakdown
The Court allowed the landlords' appeal, set aside the challenged orders and returned the suit to the civil judge for a defence and trial. Section 6 of the West Bengal Premises Tenancy Act reserved recovery of possession to the competent civil judge despite contrary contractual terms. The arbitration legislation preserved statutory restrictions on which disputes could be arbitrated. The general rule requiring reference where an arbitration agreement exists therefore did not displace this particular tenancy statute, and the Court did not itself order eviction.
Lesson Learnt
An arbitration clause cannot override a tenancy law that reserves an eviction dispute to a specified court; check the governing statute before assuming a private arbitrator can decide possession.