In a setback to Kerala, the Supreme Court on Wednesday struck down a 1998 local law empowering the state government to revoke the arbitration clause and the judicially enforceable arbitral awards, saying it was “unconstitutional” as it violated the doctrine of separation of powers by encroaching into the judicial powers of courts.
The top court's verdict came on an appeal of the state government against the Kerala High Court verdict holding that the Kerala Revocation of Arbitration Clauses and Reopening of Awards Act, 1998 encroached upon the judicial power of the State and was therefore liable to be struck down