Delhi High Court Disposes Interim Arbitration Petition After Settlement; Incorporates Settlement Agreement Into Record and Dismisses Petition as Withdrawn
Delhi High Court Records Settlement Agreement and Dismisses Interim Arbitration Petition as Withdrawn
Facts
M/s. MAX-HES JV filed a petition before the Delhi High Court against M/s. Rail Vikas Nigam Limited and another. During the pendency of the proceedings, the parties amicably resolved all their disputes and jointly filed an application under Order XXIII Rule 3 of the Code of Civil Procedure, 1908, seeking disposal of the petition in terms of their Settlement Agreement dated 2 July 2026.
Issues
- Whether the Settlement Agreement dated 2 July 2026 should be taken on record.
- Whether the petition should be disposed of in terms of the settlement arrived at between the parties.
Petitioner’s Arguments
The petitioner, jointly with the respondents, submitted that all disputes had been amicably resolved. It was stated that the Settlement Agreement had been voluntarily executed by both sides, and the Court was requested to dispose of the petition in accordance with the settlement.
Respondents’ Arguments
The respondents supported the joint application and confirmed that the disputes stood amicably settled through the Settlement Agreement dated 2 July 2026. They requested the Court to dispose of the proceedings in terms of the settlement.
Analysis of the Law
The Court considered the joint application filed under Order XXIII Rule 3 CPC, which permits disposal of proceedings where the parties have lawfully settled their dispute. Upon being satisfied that the settlement had been voluntarily executed, the Court found it appropriate to dispose of the petition in accordance with the agreed terms.
Precedent Analysis
The order does not discuss or rely upon any judicial precedent. The Court disposed of the matter solely on the basis of the Settlement Agreement and the joint application under Order XXIII Rule 3 CPC.
Court’s Reasoning
The Court accepted the parties’ submission that all disputes had been amicably resolved through the Settlement Agreement dated 2 July 2026. It directed that the Settlement Agreement would form part of the record and observed that the parties shall remain bound by its terms. In view of the settlement, the petition no longer required adjudication on merits and was therefore disposed of as settled and dismissed as withdrawn. The Court also cancelled the next date of hearing fixed for 13 August 2026.
Conclusion
The Delhi High Court allowed the joint application, recorded the Settlement Agreement as part of the record, disposed of the petition in terms of the settlement, dismissed the petition as withdrawn, and cancelled the next date of hearing.
Case Details
Case: M/s. MAX-HES JV v. M/s. Rail Vikas Nigam Limited & Anr.
Court: Delhi High Court
Case Number: O.M.P.(I) (COMM.) 33/2026
Judge: Hon’ble Mr. Justice Om Prakash Shukla
Date: 06 August 2026
Result: Petition disposed of in terms of the Settlement Agreement dated 2 July 2026 and dismissed as withdrawn.
