Summary: On January 20, 2026, the Delhi High Court decided that a disagreement between M/S Al Naureen Exports and M/S Al Noor Exports & Others should be settled through arbitration. This involves conflicts over several processing agreements.
The problem started with three processing agreements dated March 5, 2023, March 4, 2024, and April 5, 2024. These agreements allowed M/S Al Naureen Exports to use M/S Al Noor Exports' manufacturing facilities. However, disagreements came up about payments and operations.
On May 28, 2024, the Uttar Pradesh Pollution Control Board ordered the plant to close. This forced M/S Al Naureen Exports to stop operations by May 31, 2024. M/S Al Naureen Exports then asked for their advance payments back, but M/S Al Noor Exports said they weren't responsible.
"M/S Al Naureen Exports asked M/S Al Noor Exports & Others to give back the advance amounts paid... In response, M/S Al Noor Exports denied the claims."
M/S Al Naureen Exports sent a notice on February 15, 2025, to start arbitration under the Arbitration Act. However, M/S Al Noor Exports & Others said there was no arbitration agreement for the April 2024 processing agreement.
Justice Mini Pushkarna chose Mr. Nikhilesh Krishnan as the only arbitrator. The arbitration will follow the rules of the Delhi International Arbitration Centre (DIAC).
"Mr. Nikhilesh Krishnan, Advocate... is chosen as the only arbitrator to decide on the disputes."
The companies must contact the arbitrator within two weeks. The arbitrator will handle all claims and counter-claims, ensuring a fair resolution.
"The companies should contact the arbitrator within two (02) weeks from today."
This decision is an important step towards solving the financial and operational disagreements between these two export companies.
