This Non-Arbitration Agreement is designed for use in situations where parties specifically wish to exclude arbitration from their dispute resolution options under Indian law. It is particularly relevant when parties prefer the formal court system's procedural safeguards, require precedent-setting decisions, or need direct court enforcement powers. The document establishes clear jurisdiction of Indian courts, outlines specific procedures for dispute resolution through litigation, and ensures compliance with Indian contract law principles. It's commonly used in commercial relationships where parties value transparent court proceedings, want access to appellate rights, or require interim relief powers that are more readily available through courts. The agreement includes comprehensive provisions for court procedures, cost allocation, and jurisdictional matters while explicitly stating the parties' intention to opt out of arbitration.
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1. Parties: Identifies and provides full details of all parties entering into the agreement
2. Background: Sets out the context and circumstances leading to the agreement
3. Definitions: Defines key terms used throughout the agreement
4. Exclusion of Arbitration: Explicit statement excluding arbitration as a dispute resolution method
5. Court Jurisdiction: Specifies the courts that will have jurisdiction over disputes
6. Dispute Resolution Process: Details the agreed process for resolving disputes through litigation
7. Governing Law: Specifies Indian law as the governing law of the agreement
8. Costs and Legal Fees: Provisions regarding the allocation of legal costs and court fees
9. Notices: Specifies how and where formal notices under the agreement must be served
10. Entire Agreement: Confirms this document represents the entire agreement between parties regarding dispute resolution
11. Severability: Ensures remaining provisions stay valid if any part is found unenforceable
12. Execution: Signature blocks and execution formalities
1. Pre-Litigation Mediation: Optional section for when parties wish to mandate mediation before court proceedings
2. Specific Excluded Matters: Used when certain types of disputes need special treatment or exclusive jurisdiction
3. Emergency Relief: Included when parties want to preserve right to seek urgent court relief
4. Confidentiality: Added when parties want to keep court proceedings confidential where legally possible
5. Cost Security: Include when parties want provisions for security for costs in litigation
6. Multiple Jurisdiction Provisions: Required when agreement involves parties from multiple jurisdictions
7. Binding on Successors: Important when continuity of the agreement needs to be ensured for corporate parties
1. Schedule 1 - Court Procedures: Detailed procedures for initiating and conducting court proceedings
2. Schedule 2 - Excluded Matters: List of specific matters or disputes excluded from general jurisdiction provisions
3. Schedule 3 - Notice Details: Detailed contact information and addresses for service of notices
4. Schedule 4 - Pre-Action Protocol: Steps to be taken before commencing court proceedings
5. Appendix A - Form of Notice: Standard template for serving notices under the agreement
6. Appendix B - Costs Schedule: Details of how legal costs and court fees will be calculated and allocated
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