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Mere Allegation Of Financial Duress & Coercion Doesn’t Lead To Arbitrable Dispute

In M/s ONGC Mangalore Petrochemicals Ltd. Vs M/s ANS Constructions Ltd. & Anr., setting aside an arbitration reference order issued by the High Court, the Supreme Court held that the party should not have been permitted to raise arbitration dispute after accepting full and final payment of the contractual amount. The Court observed that mere allegation that no-claim certificate has been obtained under financial duress and coercion, without there being anything more to suggest the same, does not lead to an arbitrable dispute.

 Article referred: http://www.livelaw.in/mere-allegation-no-claim-certificate-obtained-financial-duress-coercion-doesnt-lead-arbitrable-dispute-sc-read-judgment/

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