Scope of Section 37 Interference and Due Diligence in Public Sector Arbitration Appeals

sketch of the Bombay High Court
Case
HINDUSTAN PETROLEUM CORPORATION LIMITED v. ARCON POWERINFRA INDIA PVT LTD (Bombay High Court, 08-09-2026)
Law
Arbitration and Conciliation Act, Indian Contract Act.

Highlights of the Judgment:

  • Analysis of the limited scope of judicial interference under Section 37 of the Arbitration and Conciliation Act, 1996.
  • Examination of the principle of due diligence regarding non-disclosure and alleged fraud during public tender processes.
  • Application of statutory provisions governing arbitrator independence and impartiality under Section 12 and the Seventh Schedule.
  • Evaluation of contractual mechanisms governing joint measurements and verification of running account bills.
  • Clarification that routine civil disputes involving public sector undertakings do not attract broad public policy exceptions post-completion.