Citation : 2022 Latest Caselaw 10346 Bom
Judgement Date : 7 October, 2022
1 45.MCA.355-2021.odt
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
NAGPUR BENCH AT NAGPUR
MISC. CIVIL APPLICATION (ARBN) NO. 355 OF 2021
( M/s Devi Rajeshwari Traders, Ballapur
Vs.
The Unit Head Bilt Graphics Paper Product Ltd. Ballarpur & Anr. )
Office Notes, Office Memoranda Court's or Judge's orders
of Coram, Appearances, Court's
orders or directions and
Registrar's orders
Ms. Priyanka Mane, Advocate h/f Mr. Raju Kadu, Advocate for the
Applicant.
Mr. A.A. Naik, Advocate for the Non-applicants.
CORAM: AVINASH G. GHAROTE, J.
DATED : 07th OCTOBER, 2022.
Heard Ms. Mane, learned counsel for the applicant and Mr. Naik, learned counsel for the non-applicants.
2. A preliminary objection is raised regarding the maintainability to the application under Section 11 (6) of the Arbitration and Conciliation Act, 1996 (For short the "A & C Act"), inasmuch as, the work order dated 22.01.2020 contains an arbitration clause No. 10, which indicates the venue to be at Delhi and clause No. 11 indicates that the work order shall be subject to the jurisdiction of the Courts at Delhi to the exclusion of all other Courts. For the sake of ready reference clause Nos. 10 and 11 of the work order dated 22.01.2020 are reproduce as under :
2 45.MCA.355-2021.odt
"10. ARBITRATION.
In the event of any dispute or controversy or claim either arising out of or relating to this Work Order (Dispute), the parties will first try to settle the same amicably and if the parties are not able to settle the same amicably within a period of 30 days from raising of Dispute then the same shall be referred to sole arbitrator to be appointed as per provisions of the Arbitration and Conciliation Act, 1996 as amended from time to time. The arbitration proceedings shall be conducted under the provisions of the Arbitration and Conciliation Act 1996 of India or any statutory enactment thereof. The award of the Arbitrator shall be final and binding upon the parties.
The arbitration proceedings shall be held at the Delhi. Language of arbitration will be English.
11. GOVERNING LAW & JURISDICTION
This Work Order shall be governed and construed by the laws of the Republic of India and it will be subject to the jurisdiction of courts at Delhi to the exclusion of all other courts."
3. Mr. Naik, learned counsel for the non-applicants, by inviting my attention to the judgment of the Hon'ble Apex Court in Indus Mobile Distribution Private Limited Vs. Datawind Innovations Private Limited and others, (2017) 7 SCC 678, specifically paras 9 and 19 submits, that once the parties have chosen Delhi as the seat of arbitration and the Courts at Delhi to have jurisdiction, the fact that the work order was executed at 3 45.MCA.355-2021.odt
Ballarpur and the work was carried out at Ballarpur would not indicate the Courts which have jurisdiction over at Ballarpur to be the Court, before which the application under Section 11(6) of the A & C Act, would be maintainable. Reliance is also placed on BGS SGS SOMA JV Vs. NHPC Limited, (2020) 4 SCC 234, (para 61, 82, 97 and 98) which considers Brahmani River Pellets Limited Vs. Kamachi Industries Limited, (2020) 5 SCC 462. It is therefore submitted, that since the clause Nos. 10 and 11 of the work order 22.01.2020, specifically choose Delhi as the venue as well as the seat of arbitration, the present application under Section 11 (6) of the A & C Act, would not be maintainable.
4. Ms. Mane, learned counsel for the applicant, seeks time to address the Court on this issue, considering which, list the matter on 14.10.2022.
JUDGE SD. Bhimte
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