Examveda
Examveda

A Financial Institution institutes a suit for re-possession of a vehicle subject matter of Hire Purchase Agreement with the defendant and for recovery of hire charges. The Hire Purchase Agreement produced by the plaintiff along with the plaint contains an arbitration clause for reference of such claims to arbitration of a reputed named advocate. The court shall:

A. Not admit the suit owing to subject matter thereof being the subject matter of Arbitration Agreement

B. Not admit the suit owing to subject matter thereof being the subject matter of Arbitration Agreement and refer the dispute to arbitration

C. Issue summons of the suit

D. Dismiss the suit

Answer: Option C


This Question Belongs to Law >> Arbitration And Conciliation Act

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Related Questions on Arbitration and Conciliation Act

An Arbitration Agreement dated 1st December, 2018 provides for reference of disputes to four arbitrators with two to be appointed by each of the parties. The Arbitration Agreement:

A. Is void and non-actionable

B. Is to be construed as being of reference of disputes to a sole arbitrator

C. Is to be construed as being of reference of disputes to three arbitrators

D. Is to be construed as being of reference of disputes to five arbitrators with the fifth arbitrator being nominated by the two arbitrators of each party