MSMEs Can Invoke Dispute Resolution Without Prior Registration: Supreme Court

The Supreme Court ruled that MSMEs can invoke the dispute resolution mechanism under Section 18 of the MSMED Act, 2006, even without prior registration under Section 8.

It held that Section 18's broad language, referring to "any party to a dispute," allows both registered and unregistered enterprises to access remedies like conciliation and arbitration.

The Court distinguished the case from Silpi Industries (2021) and Mahakali Foods (2023), which addressed different procedural requirements.

For legal clarity, the matter has been referred to a larger bench for a final determination.