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Tamil Nadu Cements Corporation v. Micro and Small Enterprises Facilitation Council

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Tamil Nadu Cements Corporation v. Micro and Small Enterprises Facilitation Council

This case deals with the maintainability of writ petition against an order or award of the Micro and Small Enterprises Facilitation Council.

Petitioners Arguments
As the proceedings before the Constitution Bench have not commenced, the appellants have not put forth their arguments yet.
Responders Arguments
As the proceedings before the Constitution Bench have not commenced, the respondents have not put forth their arguments yet.
Last Listed On
2025-08-25
Start Date
2025-01-22
Review Petition No
C.A. No. 1016/2025
Case Status
Pending
Bench Status
Not Constituted
Subject Matter
Arbitration
Pendency
1 year, 5 months, 8 days

5 Judge Bench

Reference to larger bench

Consider As Stage Of Pendency
true

Date of reference to 5 Judge Bench

Date of institution of case

The appeal arose from a dispute under the Micro, Small, and Medium Enterprises Development Act, 2006 (MSMED Act) concerning a contract between Tamil Nadu Cements Corporation Limited (TANCEM), a government-owned entity, and M/s Unicon Engineers for installing Electrostatic Precipitators (ESPs). TANCEM withheld payments, citing substandard work and delays, prompting Unicon Engineers to invoke conciliation proceedings under Section 18 of the MSMED Act. After conciliation failed, the Micro and Small Enterprises Facilitation Council (MSEFC) allowed the Company to proceed with arbitration. TANCEM’s challenges to the MSEFC’s decision were dismissed at various stages, prompting them to file the present appeal.

Can a writ petition be maintainable against an order or award of the MSEFC, considering the availability of alternative remedy under Section 34 of the Arbitration and Conciliation Act, 1996? What are the exceptions to the restrictions of the principle of adequate alternative remedy? Upon failure of conciliation proceedings, can the MSEFC itself act as arbitrators of the arbitral tribunal in terms of Section 18 of the MSMED Act read with Section 80 of the Arbitration Act?

Sections 34 and 80 of the Arbitration and Conciliation Act, 1996

The court referred the matter to a 5-judge bench for authoritative pronouncement in light of conflicting precedents.

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Maintainability Of Writ Petition Against Orders Passed By Micro & Small Enterprises Facilitation Council U/S 18 MSMED Act: Supreme Court Refers Issue To Larger Bench

Maintainability Of Writ Petition Against Orders Passed By Micro & Small Enterprises Facilitation Council U/S 18 MSMED Act: Supreme Court Refers Issue To Larger Bench
Source Of Info
Verdictum
Date Of Fr
2025-01-22

SC refers key issues on writ jurisdiction under MSMED Act to larger bench

SC refers key issues on writ jurisdiction under MSMED Act to larger bench
Source Of Info
The Print
Date Of Fr
2025-01-22