No arbitration in telecom rows: TDSAT

There is no scope for arbitration in telecom and broadcasting disputes under the TRAI Act 1997, TDSAT, the telecom tribunal, has said.

Arbitration was barred in respect of matters which were within the exclusive jurisdiction of the TDSAT under the provisions of TRAI Act, 1997, Telecom Dispute Settlement Arbitration Tribunal (TDSAT) said in a recent order.

The order came after hearings of three similar but separate petitions of Aircel Digilink India, DSSe Contact and Star India Private Ltd on the applicability of the Arbitration and Conciliation Act, 1996, in telecom disputes after the formation of TDSAT for the purpose of adjudicating them.

"Dominant public interest requires that all disputes in telecom sector, which includes broadcasting and cable TV, should be within the exclusive jurisdiction of TDSAT," the January six order of the tribunal said.

"In these circumstances, public policy demands that jurisdiction of a tribunal like TDSAT should be exclusive and arbitration agreement not to have any applicability."

The order assumes importance in the ongoing international call evasion row between Reliance and BSNL where the former has been favouring arbitration to settle the dispute, while the latter has been opposing it, saying exclusive rights for deciding on such disputes was vested only in TDSAT.

The Supreme Court had referred the matter back to High Court, saying the court would consider BSNL's argument that no one, neither the court nor an arbitrator, except the TDSAT, had the jurisdiction to adjudicate this dispute.