WHETHER AN ARBITRATION AGREEMENT WOULD BE UNENFORCEABLE IF THE UNDERLYING CONTRACT WAS NOT STAMPED? M/S NN Global Mercantile Pvt Ltd v. M/S Indo Unique Flame Ltd & Others The Supreme Court held that the arbitration agreement is an independent agreement between the parties and is not chargeable to payment of stamp duty. The non-payment of stamp duty on the commercial contract would not invalidate the arbitration clause since it has an independent existence of its own. Further, the Court observed that the finding in SMS Tea Estates and Garware that the non-payment of stamp duty on the commercial contract would invalidate even the arbitration agreement, is not the correct position in law, and referred the issue to a larger bench. Reddy & Reddy Law Firm is renowned law firm in Pune, our litigation team is handling all the matters with Civil, Criminal & Arbitration as well.