Case Analysis Jiostar India Pvt Ltd vs Ms Absolute Legends Sports Pvt Ltd & Ors 2026 DHC 3465
Synopsis
A third party (Avro Commercial Company Pvt. Ltd.), claiming to be a secured creditor of the respondent under a separate loan agreement containing its own arbitration clause, sought impleadment in a Section 9 petition filed by Jiostar India against the same respondent. The Section 9 petition sought interim restraint on dealing with media and commercial rights of a cricket tournament. The third party argued that the interim order adversely affected its security interest over the respondent’s receivables. The Delhi High Court dismissed the impleadment application, holding that a person who is not a party to the arbitration agreement cannot be impleaded in Section 9 proceedings; the proper remedy for the third party is to invoke arbitration under its own agreement or pursue independent civil remedies. The court reaffirmed that Section 9 jurisdiction is confined to parties to the arbitration agreement and is not a forum for adjudicating competing claims of third parties.
Court: High Court of Delhi
Coram: Hon’ble Mr. Justice Harish Vaidyanathan Shankar
Date of Judgment: 22nd April 2026
Citation: 2026:DHC:3465 (I.A. No.11046/2026 in O.M.P.(I)(COMM.) 88/2026)
Core Law: Arbitration and Conciliation Act, 1996 – Sections 9, 2(1)(h); Code of Civil Procedure, 1908 – Order I Rule 8A, Order I Rule 10
1. Heading of the judgment
High court of delhi
I.a. no.11046 of 2026 in o.m.p.(i)(comm.) no.88 of 2026
Jiostar india pvt ltd (petitioner) vs. Ms absolute legends sports pvt ltd & ors (respondents) and Avro commercial company pvt ltd (applicant)
Coram: hon’ble mr. justice harish vaidyanathan shankar
Date: 22nd april, 2026
2. Legal framework
Major laws and provisions involved:
Arbitration and conciliation act, 1996 – section 9 (interim measures by court), section 2(1)(h) (definition of “party” – party to an arbitration agreement)
Code of civil procedure, 1908 – order i rule 8a (intervention on question of law in public interest), order i rule 10 (impleadment of parties), section 151 (inherent powers)
Subject matter of the judgment:
Whether a third party who is not a party to the arbitration agreement and who claims independent contractual rights (as a secured creditor) against one of the parties to the arbitration agreement can be impleaded in proceedings under Section 9 of the Arbitration Act, where the interim relief granted may incidentally affect such third party’s interests.
Key legal principles applied:
“Party” under Section 2(1)(h) is limited to parties to the arbitration agreement. Section 9 proceedings are available only to such parties. A stranger to the arbitration agreement cannot independently seek relief under Section 9.
Section 9 proceedings are ancillary, preservative, and protective – inte
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