Bombay High Court
M/S Sell Ads, Nagpur Thr. Its ... vs Municipal Corporation Of City Of ... on 3 March, 2021
Bench: V.M. Deshpande
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IN THE HIGH COURT OF JUDICATURE AT BOMBAY
NAGPUR BENCH AT NAGPUR
MISC. CIVIL APPLICATION (ARBN) NO. 154 OF 2021
M/s Sell Ads, a registered partnership
Firm, having its office at 123,
Bhagwaghar Layout, Behind Traffic
Park, Dharampeth, Nagpur-440010,
through its Partner Shri Shailen s/o
Shashikant Mehta. ...APPLICANT
...V E R S U S...
Municipal Corporation of City of
Amravati, Amravati, through its
LawOfficer, Shri Shrikantsingh
s/o Ishwarsingh Chauhan. ...NON-APPLICANT
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Shri C.S. Dharmadhikari, Advocate for applicant.
Shri J.B. Kasat, Advocate for non-applicant.
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CORAM:- V. M. DESHPANDE, J.
DATED :- 3rd MARCH, 2021.
ORAL JUDGMENT
This is an application under Section 29A(5) of the
Arbitration and Conciliation Act,1996 seeking further extension of
time of two months for making an arbitral award.
(2) Though this application is coming for the first time
before the Court Shri J.B. Kasat, learned counsel submits that he
has instructions from non-applicant to appear in this matter and
he waives notice on its behalf.
(3) Looking to the submissions made before this Court, I am
of the view, that today itself the application can be disposed of.
Rule. Rule is made returnable forthwith. Heard finally by consent
of the parties.
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(4) The applicant is a registered partnership firm. In
response to the tender floated by the non-applicant, the applicant
applied and after following tender process, the applicant and non-
applicant/Corporation entered into an agreement.
(5) A dispute arose in between the parties. In view of the
fact that mechanism of arbitration was available in the agreement,
a notice to non-applicant was given by the applicant for
appointment of an Arbitrator. In response to the said notice, the
non-applicant/Corporation suggested the name of former Judge of
this Court, Justice A.P. Deshpande as an Arbitrator. After
appointment, arbitral proceedings were commenced before the
Arbitrator. Twelve months period for making an award expired
on 06.03.2019 therefore both parties consented for extension of
time and accordingly time was extended. It appears that 2 to 3
times the time was extended and ultimately on 27.10.2020, this
Court allowed Miscellaneous Civil Application (ARBN) (stamp)
No.10461 of 2020 for extension of time and three months' time
was granted. Pursuant to the extension, final arguments on the
part of both parties took place on various dates and ultimately
arguments were concluded on 26.12.2020. The extended time of
three was expired on 27.02.2021 however an award is yet to be
declared by the Arbitrator. In that view, the present application is
moved by the applicant.
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(6) Shri J.B. Kasat, learned counsel for the
non-applicant/Corporation submits that he has instructions to
make a statement that the Corporation has no objection for
extension of time to deliver award.
(7) There is no dispute before this Court that arguments
from both side are already over and the Arbitrator has already
heard both side in extenso and the matter is pending for only
delivering an award. In that view of the matter, that is a fit case
wherein the Court should invoke the jurisdiction under Section
29A(5) of the Act. That leads me to pass following order:
ORDER
i) The application is allowed.
ii) Time to decide the arbitration proceedings is
extended by further three months from 27.01.2021 and
award should be passed within extended period.
Rule is made absolute in above terms. No order as to costs.
JUDGE
Wagh
