Hardik Fintrade Pvt. Ltd vs Naynaben H Bhagat

Citation : 2025 Latest Caselaw 6876 Guj
Judgement Date : 23 September, 2025

Gujarat High Court

Hardik Fintrade Pvt. Ltd vs Naynaben H Bhagat on 23 September, 2025

Author: Sunita Agarwal
Bench: Sunita Agarwal
                                                                                                        NEUTRAL CITATION




                              C/CA/2173/2025                            ORDER DATED: 23/09/2025

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                              IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

                       R/CIVIL APPLICATION (FOR CONDONATION OF DELAY) NO.
                                             2173 of 2025
                                 In F/FIRST APPEAL NO. 6281 of 2025
                                                With
                                   F/FIRST APPEAL NO. 6281 of 2025
                       =============================================
                                                 HARDIK FINTRADE PVT. LTD.
                                                           Versus
                                                 NAYNABEN H BHAGAT & ANR.
                       =============================================
                       Appearance:
                       MR UDAY R BHATT(192) for the Applicant(s) No. 1
                       MR SP MAJMUDAR WITH MR PARTH B BHAGAT(13469) for the
                       Respondent(s) No. 1
                       SERVED BY RPAD (N) for the Respondent(s) No. 2
                       =============================================

                        CORAM:HONOURABLE THE CHIEF JUSTICE MRS. JUSTICE
                              SUNITA AGARWAL
                              and
                              HONOURABLE MR.JUSTICE D.N.RAY

                                       Date : 23/09/2025
                                     COMMON ORAL ORDER

(PER : HONOURABLE THE CHIEF JUSTICE MRS. JUSTICE SUNITA AGARWAL)

1. Having heard learned counsels for the parties and perused the record, pertinent is to note that the present appeal under Section 37 of the Arbitration and Conciliation Act, 1996 has been filed challenging the order dated 09.05.2024 passed by the Commercial Court, namely the City Civil Court, Ahmedabad. The present appeal under Section 37 has been presented on 11.04.2025, i.e. after almost a period of one year, with the application seeking condonation of delay, reported as 261 days on the date of the presentation of the appeal.

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NEUTRAL CITATION C/CA/2173/2025 ORDER DATED: 23/09/2025 undefined

2. A perusal of the averments made in the delay condonation application supported with the affidavit of the Director of the petitioner - company, indicates that various averments made therein are about the legal advice given by the learned advocate and some confusion in the mind of the deponent as to whether to approach the Court to challenge the award further or not.

3. All these averments made in paragraphs 1 to 4 and 6 to 9 of the delay condonation application cannot be treated as explanation for the purpose of condonation of delay in filing the instant appeal.

4. Coming to the only relevant paragraph '5', pertinent is to note that though it has not been explained as to how the judgment and order dated 09.05.2024 came to the notice of the deponent on 31.07.2024, but it can be taken note of that the deponent, namely the appellant herein was aware of the order of the rejection of Section 34 application, at least, as on 31.07.2024. The assertions in paragraph '6' that the learned advocate appearing before the District Court could be contacted only in the month of January, 2025 are as vague as they could be.

5. There is absolutely no explanation much less reasonable explanation or even sufficient explanation to condone the delay of 261 days in the presentation of the present appeal. Moreover, the award is of the year 2003 and the application under Section 34 of the Act, 1996 filed by the appellant herein Page 2 of 4 Uploaded by GAURAV J THAKER(HC00951) on Fri Sep 26 2025 Downloaded on : Sat Sep 27 01:40:25 IST 2025 NEUTRAL CITATION C/CA/2173/2025 ORDER DATED: 23/09/2025 undefined remained pending for a period of approximately 21 years when it was decided as on 09.05.2024. The result is that award-holder has already waited for a period of 21 years only to see the fate of Section 34 application. For a further period of about one year, i.e. till today, the award has not been executed though the execution under Section 36 is pending before the competent Court.

6. The attention of the Court is further invited to the decision of the Apex Court in Government of Maharashtra (Water Resources Department) Represented by Executive Engineer vs. Borse Brothers Engineers and Contractors Private Limited - (2021) 6 SCC 460, wherein it is held as under :-

"63. Given the aforesaid and the object of speedy disposal sought to be achieved both under the Arbitration Act and the Commercial Courts Act, for appeals filed under section 37 of the Arbitration Act that are governed by Articles 116 and 117 of the Limitation Act or section 13(1-A) of the Commercial Courts Act, a delay beyond 90 days, 30 days or 60 days, respectively, is to be condoned by way of exception and not by way of rule. In a fit case in which a party has otherwise acted bona fide and not in a negligent manner, a short delay beyond such period can, in the discretion of the court, be condoned, always bearing in mind that the other side of the picture is that the opposite party may have acquired both in equity and justice, what may now be lost by the first party's inaction, negligence or laches."

7. A perusal thereof indicates that taking note of the object of the Arbitration and Conciliation Act, 1996 and the Commercial Courts Act, 2015, of speedy disposal of the Page 3 of 4 Uploaded by GAURAV J THAKER(HC00951) on Fri Sep 26 2025 Downloaded on : Sat Sep 27 01:40:25 IST 2025 NEUTRAL CITATION C/CA/2173/2025 ORDER DATED: 23/09/2025 undefined commercial disputes, the Apex Court has observed that the Courts though have discretion to condone the delay in filing application under Section 37 beyond the period of 120 days, but they have to bear in mind the object of the Arbitration Act, 1996 and that the other side, namely the opposite party, who may have acquired some right both in equity and justice for the inaction, negligence or laches on the part of the litigating party, may not suffer or loose the same.

8. Considering the above, we find that in absence of any explanation at all much less sufficient explanation, in view of the misleading averments made in the application seeking condonation of delay, we do not find it a fit case to condone the delay. The cause shown is not sufficient to the satisfaction of the Court. The delay condonation application is hereby rejected. In the result, the appeal stands dismissed. No order as to costs.

(SUNITA AGARWAL, CJ ) (D.N.RAY, J) GAURAV J THAKER Page 4 of 4 Uploaded by GAURAV J THAKER(HC00951) on Fri Sep 26 2025 Downloaded on : Sat Sep 27 01:40:25 IST 2025