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The Supreme Court said that prima facie, it had been impossible to say that the Large Court docket was Incorrect in believing that it could be a circumstance where by an injunction could not be granted in see from the provisions of the Specific Aid Act, 1963. It absolutely was noticed that the Arbitration and Conciliation Act, 1996, prima facie will not manage to exclude the provisions with the Specific Aid Act, 1963 from operating in this type of case.

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The respondent contended that the agreement amongst the parties was really an agency agreement. That agreement could not be specifically executed. The Higher Court docket mentioned which the District Courtroom designed a blunder in passing an purchase to take care of the arrangement, mainly because prima facie the agreement between the get-togethers wasn't specifically enforceable since the clauses with the agreement had expired, it wasn't proper to permit an interim get as passed through the District Court docket. For that reason, the High Courtroom put aside the verdict from the District Courtroom and turned down the appliance submitted via the petitioner as per Section nine of your Arbitration and Conciliation Act, 1996. It was also noticed that permitting the injunction to the petitioner would position the respondent in peril of being liable to prosecution.