No Signature, No Problem! Arbitration Clause Still Valid.

Case:- Glencore International AG vs. M/s. Shree Ganesh Metals and another.

Citation:- 2025 INSC 1036

Date:- 25.08.2025

Bench:- Justice Sanjay Kumar, Justice Satish Chandra Sharma

The Supreme Court observed that merely because an arbitration agreement was not signed, there is no bar to refer the dispute to arbitration, if the parties have otherwise consented to arbitration.

Important Points:-

  • Hon’ble Supreme Court held that an arbitration agreement need not be signed if parties have otherwise consented to it.
  • The Hon’ble Court set aside a Hon’ble Delhi High Court ruling that refused arbitration due to lack of signature from the respondents.
  • The Hon’ble Supreme Court held that respondent had accepted the contractual terms with their conduct, and it forms a valid consent and intention of the Parties.
  • Arbitration Agreements can arise from exchange of letters, emails, or pleadings. It is not mandatory to sign the arbitration agreement. In today’s e-commerce & digital contracts, acceptance of terms online can still create a binding arbitration agreement.

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