Faridabad Metal Udyog Pvt. Ltd. v. BPCL & Anr. (Bombay HC: 17.06.2013) is perhaps one of the first, if not the first, judgement to rule on the restrospective applicability of the MSMED Act, 2006. According to the Single Judge of the High Court:
"On perusal of the facts of this case and on conjoint reading of definition of Section 2(b) and (n) of the MSME Act, it is clear that dispute between the parties to these proceedings arose much prior to the said Act having came into force. In my view, remedy under Section 18 to refer the dispute to Micro and Small Scale Enterprises Facilitation Council would not apply to the dispute arising out of existing arbitration agreement between the parties. Similarly, the said provisions also cannot be invoked in respect of the dispute having arisen between the parties prior to the said Act having came into force and prior to the "Supplier" having filed the memorandum and is registered under Section 8 of the said Act. Admittedly these first four petitioners were registered as micro small enterprises much after the dispute had arisen between the parties. In my view, the said provisions would not apply with retrospective effect to the past transaction and thus provisions of the said MSME Act have no applicability to the facts of this case." (para 13)
The relevant portions (virtually all of the above para) are underlined. But the observation of the judge in the last line seem to present a view that the MSMED Act, 2006 would not affect past agreements. Comments, anyone?