Question 1

What is a claim for 'oppression and mismanagement'?

Accepted Answer

Under the Companies Act, minority shareholders can approach the National Company Law Tribunal (NCLT) if the affairs of the company are being conducted in a manner prejudicial to public interest, the company's interests, or the interests of the shareholders (oppression).

Question 2

What are the advantages of Arbitration over civil litigation?

Accepted Answer

Arbitration offers a private, mutually agreed-upon forum for dispute resolution. It is generally faster, allows parties to choose arbitrators with specific industry expertise, and produces an arbitral award that is binding and enforceable with limited grounds for judicial interference.

Question 3

Under what grounds can an Arbitral Award be challenged?

Accepted Answer

Under Section 34 of the Arbitration and Conciliation Act, an award can be challenged in court on limited grounds, such as incapacity of a party, invalidity of the arbitration agreement, lack of proper notice, the dispute falling outside the scope of arbitration, or the award being in conflict with the public policy of India.

Corporate Litigation & Arbitration

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