The Supreme Court has held that overlapping disputes under related commercial agreements do not, by themselves, justify refusing an arbitration reference at the threshold.
Shubham Equipment and Rothwell Water had entered a licence agreement, a joint-venture agreement and a memorandum of understanding. The court found that the instruments operated in distinct fields, even though some disputes overlapped with an arbitration seated in Korea.
It said the limited inquiry under Section 11 of the Arbitration and Conciliation Act did not permit the court to resolve those substantive questions. Whether a wholly owned subsidiary that did not sign one agreement could be bound was also left to the tribunal.
Allowing the petitions on October 8, 2026, the court appointed former Bombay High Court Chief Justice Ramesh Dhanuka as sole arbitrator.