Excise Duty Disputes Non-Arbitrable Only When Involving Sovereign Functions Including Determination Of Tax Rate Or Liability: Delhi High Court

The Delhi High Court ruled that disputes related to excise duty are non-arbitrable, as they involve sovereign functions, including the determination of tax rates or liability. The court emphasized that such matters fall within the exclusive jurisdiction of statutory authorities and cannot be resolved through arbitration. This ruling reinforces the principle that arbitration is unsuitable for resolving disputes involving sovereign powers, particularly those related to taxation and regulatory functions.