The Question Of “Accord And Satisfaction” Comes Within The Exclusive Jurisdiction Of The Arbitral Tribunal
On 18.07.2024, a Full Bench of the Supreme Court of India in Civil Appeal No. 7821 of 2024 titled SBI General Insurance Co. Ltd. v. Krish Spinning reported in (2024) 7 S.C.R. 840 has decided on a substantial question of law relating to the Scope of judicial interference at the stage of referral of the dispute to the arbitral tribunal in a case where the contract has been discharged by “accord and satisfaction ” , wherein, the Respondent obtained a standard fire and special perils (material damage) insurance policy from the Appellant for a total sum insured of Rs 7,20,00,000/-. During the covered period, two incidents of fire took place at the factory premises of the Respondent, as a result of which the Respondent suffered a loss amounting to Rs 1,76,19,967/- and Rs 6,32,25,967/- respectively. The surveyor assessed the quantum of loss at Rs 84,19,579/- and the Respondent accepted the same vide a consent letter and the Respondent signed an advance discharge voucher, confirming the recei...