Welcome
Enterprise Roundtable on
Interim Reliefs
Suljhao, Magar Pyaar Se
Warm Up
30 seconds each — let's go around the room
Keep it to 30 seconds — we have a packed agenda!
SAMA
( S I N C E 2 0 1 5 )
India's First Online Dispute Resolution (ODR) Platform
Out of Court + Fully Online = Online Dispute Resolution (ODR)
Empanelled with Bombay High Court as a mediation institution
Trusted by 75+ Corporates, 8+ State Govts, SEBI, Police
Suljhao, Magar Pyaar Se
Interim Reliefs:
The Key to Faster Settlements
Strengthening Interim Orders for Lenders
Bringing people to the table is half the battle won.
The real problem in Indian mediation isn't failed mediation. It's mediation that never begins.
When a respondent evades, the claimant shouldn't be left waiting. Interim reliefs aren't about winning — they're rooted in equity, protecting the integrity of the process itself.
Post-interim relief, non-starters often become active parties. Cases that seemed stuck, settle. Med-Arb isn't a fallback — it's a design choice.
Dedicated mediation windows within arbitration. Procedural fairness intact. A cautious, case-by-case approach — never blanket.
The goal was never arbitration vs mediation.
The goal is settlement. With dignity.
Personal Loan Default
IO led to full settlement in 120 days
A leading private sector bank disbursed a personal loan of ₹4.2 lakhs to a salaried borrower. The borrower defaulted after 4 EMIs, stopped responding to collection calls, and the account turned NPA.
Traditional recovery efforts — notices, calls, field visits — had been ongoing for 5 months with zero response.
The bank filed for arbitration through Sama and applied for an interim order seeking a debit freeze on the borrower's accounts.
The 3 Requirements — Met
From Filing to Settlement
Bank shared case details with Sama
Pre-arbitration notice sent to borrower
Arbitrator appointed
Pleadings filed and exchanged
Interim Order issued — debit freeze up to ₹4.2L
Order communicated to banks, lien marking completed
Borrower called the bank — first contact in 5 months. Contacts Sama case manager, requests settlement assistance.
Settlement finalised at a 15% waiver on the outstanding amount
What the Numbers Show
Compare — Traditional Route:
DRT / Civil Suit: 12–18 months, with uncertain recovery
"The borrower who ghosted for 5 months called within 8 days of the freeze."
Interim orders change the incentive structure overnight.
Interim Reliefs:
The Key to Faster Settlements
The 2015 Amendment to the Arbitration Act gave arbitral tribunals the power to grant interim orders with the same enforceability as court decrees. Yet institutional adoption remains limited — held back by legal hesitation, compliance barriers, and persistent misconceptions.
Three questions come up again and again. A formal legal opinion addresses each one.
Do IOs need court confirmation?
Can they bind third-party banks?
Can you freeze via PAN?
Do Section 17 orders need court confirmation?
They are deemed to be orders of the Court and enforceable under CPC — no separate court validation needed.
Are these orders binding on third-party banks?
Orders securing a respondent's assets held with third-party banks are valid and must be complied with once duly communicated.
The Key Distinction (Delhi HC — Gatx India v. Arshiya)
Orders that incidentally affect third parties (e.g., freeze on respondent's account held with a bank)
Orders granting relief directly against third parties' own assets
Can accounts be frozen based on PAN alone?
Where specific account details are unavailable despite best efforts, PAN and KYC particulars can be used.
Practitioner Panel
3 Questions · 3 Practitioners · 5 Minutes Each
Followed by 25-minute Open Forum
Is account freezing through Section 17 legally sound? And can lenders with unilateral arbitration clauses still invoke it?
Account freezing under Section 17 is fully legal and has been judicially affirmed
Post-2015 Amendment, Section 17 orders are deemed orders of the Court — enforceable under CPC
Even where the underlying clause is unilateral, lenders can still invoke Section 17
The unilateral nature does not strip the tribunal of its powers under the Act
Ideal hygiene going forward: move toward institutional ODR clauses in loan agreements
ODR clauses sidestep the unilateral issue entirely and offer cleaner enforceability
"The law is settled. The question is institutional willingness — and clause hygiene."
Beyond account freezing, what other interim reliefs can lenders seek under Section 17?
Freezing of specific bank accounts
Most commonInjunction on immovable property
Repossession of movable assets
Repossession of vehicles
Used by IndusInd, Kotak PrimeSale of vehicles (post-repossession, prior to or during arbitration)
Injunction on utilisation of salary (with direction to communicate to employer)
Debit order for frozen amounts (subject to bank undertaking)
Garnishee Orders / Attachment of receivables
"The choice depends on the facts — freezes for liquid funds, preservation for secured lending, disclosure when the borrower goes dark."
How enforceable are Section 17 orders in practice? Must banks comply directly, or does the lender need a separate court order?
Once a Section 17 order is duly communicated, the bank should comply directly
No need to approach a court for a separate enforcement order
Supreme Court in Alka Chandewar: Section 17 orders are deemed orders of the Court
Karnataka HC in Ramya Malini v. Canara Bank: banks ought to comply once communicated
Non-compliance attracts contempt proceedings under Section 27(5) of the Act
Enforcement should be straightforward — the law treats these as court orders in every sense
"The judicial position is settled. Communication is the key — once communicated, compliance is expected."
Open Forum
Any questions for the practitioner panel?
Your biggest concern around interim reliefs?
What will it take for all branches to standardise and accept interim reliefs?
In what situations should an interim relief not be granted?
Surveys
Let's get a pulse of the room.
Interim Order Adoption Kit
Everything your team needs to make the internal case.
Legal Opinion from Shardul Amarchand Mangaldas
Types of Interim Reliefs — full spectrum guide
Common FAQs on interim orders
Anonymised case studies
IO Application Checklist — the 3 requirements
Interested to Explore More?
Today was the starting point. Here's how we take this forward.
1:1 Session with Your Team
Sama will schedule a tailored deep-dive with your Legal, Risk, and Collections teams:
Map interim relief use-cases to your specific portfolio and loan products
Walk through the Sama process end-to-end — filing, IO issuance, enforcement
Address your institution-specific concerns — clause structure, compliance, regulatory
Explore a pilot program — controlled deployment with measurable outcomes
Speak to any Sama team member here today, or write to pranjal@sama.live
Bringing People to the Table
is Half the Battle Won
The real problem in Indian mediation isn't failed mediation. It's mediation that never begins.
When a respondent evades, the claimant shouldn't be left waiting. Interim reliefs aren't about winning — they're rooted in equity, protecting the integrity of the process itself.
Post-interim relief, non-starters often become active parties. Cases that seemed stuck, settle. Med-Arb isn't a fallback — it's a design choice.
Dedicated mediation windows within arbitration. Procedural fairness intact. A cautious, case-by-case approach — never blanket.
The goal was never arbitration vs mediation.
The goal is settlement. With dignity.
Group Photo Time!
And then — High Tea awaits.
Sama team is available during high tea for 1:1 conversations — institution-specific questions, pilot discussions, or just getting to know each other better.
Thank you for being here.
pranjal@sama.live · www.sama.live