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Arbitration Agreement pursuant to Amicable Family Settlement. Family settlement, Mitakshara School of Hindu Law.


ARBITRATION AGREEMENT

Arbitration Agreement pursuant to amicable family settlement.

Family settlement, Mitakshara School of Hindu Law. 

Arbitration Agreements are agreements or clause in a broader contract in which the parties agrees to settle the disputes, if arises, out of court, through arbitration, any dispute as defined that arises with your counterpart.
Arbitration agreements are common in commercial contracts, consumer contracts and employment contracts, however, they can be proposed additions to any contract negotiation in which one, both or all parties agrees to settle it out of court.
The awards and/or orders passed are binding in law and can be strictly enforced. Arbitration Agreement is rarely found for family settlements. But there are some wise men, who in order to save duties and taxes or otherwise, choose to settle the assets of the family, orally among themselves, and later on after acting upon such amicable settlement among themselves they decide to reduce such amicable family settlement into writing and keep it outside the court by entering upon the Arbitration Agreement. 

One of my client, a Hindu governed under the Mitakshara School of Hindu Law had entered into an amicable family settlement in respect of ownership and allotment of what had been up to then Joint Family/Undivided Hindu Family property, on May 6, 2018, which was oral and not in writing. And such settlement had been acted upon forthwith by the parties.

Subsequently, for the purpose of substantiating the factum of such amicable family settlement various authorities had required something in writing from the parties. At this point of time it was advised that a Memorandum Recording the said Family Settlement be entered whereby no right, title or interest was created or extinguished, modified or altered, but merely the family settlement of the day was recorded, (in order to save it from the purview of registration) and further in order to save the parties from being forced to participate, conduct or contest an expensive litigation it was advised that an Arbitration Agreement be also made. Below is the draft of the Arbitration Agreement, which was made. Hope it helps. 


ARBITRATION AGREEMENT 

This Arbitration agreement made on this the __ day of ___, BETWEEN the following members of (blank) family who had been co-owners of specified properties referred to below:- 1. (name deleted/blank) 2. (name deleted/blank) 3. (name deleted/blank). 4. (name deleted/blank) All are of (name deleted/blank) Park Road Kolkata-700027 5. (name deleted/blank), aged about 66 years, wife of the (name deleted/blank), 6. (name deleted/blank), aged about 22 years, son of the Late (name deleted/blank). 7. (name deleted/blank), aged about 67 years, son of the Late (name deleted/blank). 8. (name deleted/blank), aged about 74 years, son of the Late (name deleted/blank). 9. (name deleted/blank), aged about 54 years, son of the Late (name deleted/blank). 10. (name deleted/blank), aged about 43 years, son of the Late (name deleted/blank). 11. (name deleted/blank), aged about 72 years, son of the Late (name deleted/blank). 12. (name deleted/blank), aged about 72 years, son of the Late (name deleted/blank). Serial numbers 5 to 12 are of (name deleted/blank) 13. (name deleted/blank), aged about 64 years, wife of the Late (name deleted/blank). 14. (name deleted/blank), aged about 38 years, son of the Late (name deleted/blank). 15. (name deleted/blank), aged about 67 years, son of the Late (name deleted/blank). Serial numbers 13 to 15 are of (name deleted/blank). 16. (name deleted/blank), aged about 43 years, son of Sri (name deleted/blank) residing at (name deleted/blank). 17. (name deleted/blank), aged about 40 years, son of (name deleted/blank), residing at (name deleted/blank)., Referred to hereinafter as “the said Parties” (which expression shall, unless repugnant or contrary to the context and/or expressly excluded thereby, shall include their legal heirs, representatives, successors and executors).

WHEREAS the parties governed by the Mitakshara School of Hindu Law entered into an amicable family settlement in respect of ownership and allotment of properties referred to in the schedule-I, II, III, IV, V, VI, VII, VIII, IX, X, XI, XII, XIII, XIV and XV hereof and what had been upto then Joint Family/Undivided Hindu Family property, on May 6, 2018, which was oral and not in writing, 

AND WHEREAS the said family settlement had been acted upon forthwith by the parties; 

AND WHEREAS subsequently for the purpose of substantiating the factum of such amicable family settlement various authorities had required something in writing from the parties; 

AND WHEREAS due mainly thereto the parties hereto had executed a Memorandum Recording the said Family Settlement whereby no right, title or interest was created or extinguished, modified or altered, but merely the family settlement of May 6, 2018 was recorded; 

AND WHEREAS now there is apprehension in the minds of the parties that if there is breach thereof and/or if any dispute or controversy arises, in respect of such family settlement and the Memorandum recording the same, and/or in any way touching the same and/or connected thereto and/or the rights and obligations and/or any question of title arising out of, connected with and/or touching the said Family Settlement of May 6, 2018 and/or any consequence or incident thereof and/or any question of interpretation of any term or condition of such Family Settlement and/or the Memorandum recording the same, the parties would be forced to participate, conduct or contest an expensive litigation; 

AND WHEREAS the parties have therefore agreed to submit any such dispute, controversy, question whatsoever, to arbitration by a learned Sole Arbitrator Mr. (name deleted/blank), Advocate, High Court at Calcutta, having his office at (name deleted/blank). 

NOW THIS ARBITRATION AGREEMENT WITNESSES That the parties hereto doth agree to submit and/or refer all and/or any dispute or controversy whatsoever, in respect of such family settlement and/or the Memorandum recording the same, and/or in any way touching the same and/or connected thereto and/or the rights and obligations and/or any question of title arising out of, connected with and/or touching the said Family Settlement of May 6, 2018and/or the Memorandum recording the same and/or any consequence or incident thereof and/or any question of interpretation of any term or condition of such Family Settlement and/or the Memorandum recording the same, to arbitration by the learned Sole Arbitrator Mr. (name deleted/blank) Advocate, High Court at Calcutta, whose decision expressed in the form of an award shall be final. The said learned Arbitrator shall not be required to assign any reason for the award. The Arbitration and Conciliation Act, 1996 and/or any statutory modification thereof and/or any other statute for the time being in force, shall govern the arbitration. The venue for arbitration shall be at Kolkata. The fees of the learned arbitrator shall be as agreed by the parties at the first meeting of the arbitral tribunal. The procedure for arbitration shall be as decided by the learned arbitrator. The language of the proceedings shall be in English. For the purpose of convenience, a copy of the said Memorandum dated May 1, 2023 Recording the Amicable Family Settlement arrived at between the parties on May 6, 2018 shall form a part of this Arbitration Agreement and is annexed hereto and marked “A”. 


IN WITNESS WHEREOF the parties hereto have set and subscribed their respective hands and seals on this the 1st day of May, 2023. (Signature of all the 17 parties, serially) Signed Sealed and Delivered at Kolkata. 

The parties hereto read and expressed themselves satisfied that the above document accurately transcribed their intentions in our presence and then each of them signed the above document in our presence, whereafter, at their request and in their presence and in the presence of one another, we sign this document as Attesting Witnesses on this the 1st day of May, 2023. 1. (name deleted/blank. (Name: (name deleted/blank Address: (name deleted/blank) 2. (name deleted/blank. (Name: (name deleted/blank Address: (name deleted/blank).



Dear Readers!

A lot of effort has been put into the blog for all to know and learn. However, we are humans and humans err.  Please feel free to correct me in the comment. 

 

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Thanks for Reading. J


Team Lex Polis. 



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