Dispute Resolution & ADR Newsletter - October 2025

Non-signatories cannot attend arbitration despite having a stake in the subject property

Kamal Gupta v. LR Builders Pvt Ltd

Supreme Court of India | SLP (Civil) No. 4775 of 2025

The Supreme Court recently ruled that the presence of non-signatories in arbitral proceedings amounts to a breach of confidentiality and is impermissible under the Arbitration and Conciliation Act, 1996 (Act). The decision reinforces the fundamental principles of party autonomy and confidentiality that underpin arbitration. It clarifies that a non-signatory, even if having a commercial or proprietary stake in the subject matter, cannot participate in or attend arbitral proceedings to which they are not bound. The decision safeguards the consensual nature of arbitration, ensuring that only those who have expressly agreed to arbitrate can be part of the process. Allowing outsiders would compromise confidentiality under Section 42A of the Act and dilute the integrity of private dispute