Quick Summary: Jalaram Fabrics challenged a decision that required them to pay Nisarg Textiles a large amount of money. The case was about arguments over fabric supplies and the process of resolving the dispute. In the end, the court dismissed Jalaram's complaints.
In 2019, Jalaram Fabrics, a clothing business, ordered fabrics from Nisarg Textiles, based in Mumbai. Problems came up with the quality and pricing of the fabrics. By November 2021, Nisarg Textiles claimed Jalaram Fabrics owed them ₹11,92,614 and threatened to take the issue to a third party if not paid.
Nisarg Textiles took the issue to the Bharat Merchants’ Chamber, which in July 2022 decided that Jalaram Fabrics should pay ₹17,81,996, including interest. Jalaram Fabrics argued that the decision was unfair because Nisarg Textiles set up the process by themselves.
"The decision required Jalaram Fabrics to pay ₹17,81,996 to Nisarg Textiles."
Jalaram Fabrics claimed the process was biased because Nisarg Textiles supposedly chose the decision-makers without their input. They mentioned past cases where similar decisions were canceled because both sides didn't agree on the decision-makers.
Judge Sandeep V. Marne, on January 8, 2026, dismissed Jalaram Fabrics' complaint. He pointed out that Jalaram Fabrics had chances to choose a decision-maker but didn't do so. The court stressed that the process was carried out by an independent group, not just by Nisarg Textiles.
The court supported the decision that Jalaram Fabrics should pay Nisarg Textiles, along with additional costs for the legal proceedings. This case shows how important it is for businesses to understand and take part in the dispute resolution process.
