08 March 2021 | Chirag Infra Projects Pvt. Ltd. v. Vijay Jwala Coop. Hsg. Soc. Ltd. and another | GS Patel J | 2021 SCC OnLine Bom 364

The dispute arose from a redevelopment agreement (containing an arbitration clause) between the developer and the cooperative society. The respondent was the only member who objected to the redevelopment project and refused to vacate his flat. The developer invoked arbitration and applied under Section 9 ACA for a mandatory interim injunction for delivery of possession.

Following precedent, the Bombay High Court ruled that the petition was maintainable even though the member did not sign the agreement. His identity was subsumed with the identity of the society. Also, interim orders can be passed even against non-signatories.

The court also found that the member never challenged either the resolution of the society or the agreement. His defence to the petition was vague and “the most complete and the purest moonshine”. Thus, held there was an exceptionally strong prima facie case that warranted the grant of a mandatory order.

Read the judgment here.