MRS. SANJANA M. WIG V. HINDUSTAN PETRO CORPORATION LTD INSC 484

Name of the case- MRS. SANJANA M. WIG V. HINDUSTAN PETRO CORPORATION LTD

Year decided- 2005

Facts- The appellant operated a dealership with another partner under a contract with the respondent. After one partner died, the respondent ended the dealership agreement, alleging that the appellant had broken certain rules. The appellant contested the termination of the dealership through a writ petition, arguing that the process was unfair and requesting its restoration. Pointing out that arbitration was available as an alternative remedy, the High Court dismissed the petition. The appellant then appealed the decision to the Supreme Court.

Issue- Whether the appellant was entitled to the restoration of dealership, and can a writ petition be issued under Article 226 of the Constitution when the arbitration clause exists?

Decision- Maintaining the decision of the High Court, the Supreme Court dismissed the appeal.

Majority Opinion Reasoning- It was ruled by the Supreme Court that when another alternative remedy is available, discretionary authority under Article 226 is usually not used. The case for writ jurisdiction was further undermined by the appellant's prior arbitration proceedings and settlement . Furthermore, there was no sign of novation or new contractual terms, and the dealership agreement was formally terminated after the partner's passing. The Court did not find any reason to overturn the High Court's ruling or reopen the dealership.

Dissenting Opinion Reasoning- There was no dissenting opinion given in this case.

Impact of the case- This case upholds the rule that when a contractual dispute can be settled through alternative channels, such as arbitration, writ petitions should not be considered. It makes clear that claims pertaining to private contractual obligations that do not contain elements of public law are typically not covered by Article 226.