IRS arbitration clause is binding: Court

03 Oct,2012

By A Correspondent


The Calcutta High Court has held that the arbitration clause embedded in software of the Indian Readership Survey, which is part of the terms and conditions a user must accept before accessing data, is binding. Disposing of a petition filed by ABP Private Limited and vacating an injunction earlier granted by the Court, Justice Nadira Patherya referred the dispute relating to IRS 2008 to arbitration, in a judgment delivered on September 25.


Responding to ABP’s petition challenging IRS findings, MRUC had contended that the dispute had to be referred to arbitration, as this clause was a part of the terms accepted by users. This was contested by ABP.


The court held, “The issue sought to be raised by the plaintiff in C.S. No.242 of 2008 is covered by the arbitration agreement as the same has been couched in the widest terms and encompasses the issue raised, and the same be referred to arbitration”.


A statement from MRUC said that it is a body constituted of media research users by media research users for media research users. It succeeds only when it advances the interests of its diverse stakeholders in the communications industries. MRUC recognizes that there will be situations in which users may disagree with some aspect of the conduct of various researches that it conducts. It is precisely to handle such disputes in a spirit of collaborative resolution that MRUC places so much emphasis on arbitration, the statement added.


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