Citation : 2023 Latest Caselaw 2985 Cal/2
Judgement Date : 16 October, 2023
OCD-9
ORDER SHEET
IN THE HIGH COURT AT CALCUTTA
Ordinary Original Civil Jurisdiction
ORIGINAL SIDE
(Commercial Division)
AP/731/2023
WIKREATE WORLDWIDE PRIVATE LIMITED
VS
THE CALCUTTA MEDICAL RESEARCH INSTITUTE
BEFORE:
The Hon'ble JUSTICE MOUSHUMI BHATTACHARYA
Date : 16th October, 2023.
Appearance:
Mr. Sukrit Mukherjee, Adv.
Mr. Subhankar Chakraborty, Adv.
Mr. Saptarshi Bhattacharjee, Adv.
...for the petitioner
Mr. Snehashis Sen, Adv.
Mr. Abhishek Banerjee, Adv.
...for the respondent
The Court:- The resistance to the Section 11 application is not that there
is no dispute between the parties but that the petitioner should be kept within
the confines of the last and fourth agreement executed between the parties,
namely, the Service Agreement dated 17th December, 2022. There is a reason
for this resistance since this is the only agreement which contains an
arbitration clause; none of the earlier three agreements contain an arbitration
clause. The respondent hence says that the petitioner cannot consolidate its
claims under all the four agreements and sustain them by way of a Section 21
notice which was issued to the respondent on 7th May, 2023.
The only point which is to be decided is whether the Court can ignore the
first three agreements and rely on the last and final Service Agreement and if
yes, whether the petitioner can be kept within the bounds of the final
agreement in respect of the claims raised by the petitioner on the respondent.
The four agreements are of 21st December, 2020 followed by two Addenda
of 1st July, 2021 and 1st April, 2022. The last "Service Agreement" which
contains the arbitration clause is of 17th December, 2022. It is not in dispute
that the scope of work was delineated in the first agreement where the
petitioner was engaged as the digital marketing service provider for the
respondent. The scope of work continued thereafter through the two Addenda
and culminated in the Service Agreement which contains the arbitration
clause.
It is also not in dispute that both the parties before the Court executed
and were signatories to all the four agreements. This Court not only finds
commonality of parties but also commonality of work and purpose in all the
four agreements. The parties would hence be covered by the Supreme Court
decision in Ameet Lalchand Shah Vs. Rishabh Enterprises and Another, (2018)
15 SCC 678 and Chloro Controls (I) P. Ltd. Vs. Severn Trent Water Purification,
reported in (2013) 1 SCC 641 where even non-signatories were brought within
the fold of the arbitration agreement. Ameet Lalchand Shah involved a parent
agreement and offspring agreements with a common connection which were
also brought within the fold of arbitration. Both these judgments were
considered by a co-ordinate Bench in Tantia Constructions Vs. Mather and Platt
Pumps Limited, 2023 SCC OnLine Cal 1142. The petitioner here in fact is on a
better footing than the petitioner in Tantia Constructions in relation to the fact
of supersession.
The petitioner has provided consolidated service to the respondent by
way of the four agreements; the obligation of the respondent to pay for the
service rendered by the petitioner hence cannot be restricted only to the final
Service Agreement of 17th December, 2022. The respondent's reply of 13th
June, 2023 to the petitioner's Section 21 notice does not dispute the
arbitration agreement but raises the point of supersession. In any event, the
argument made by the parties can well be considered by the Arbitrator
including that of supersession and the claim being restricted to the Service
Agreement.
The Court is of the view that the arbitration agreement in the last and
final Service Agreement can actually be traced back to the three agreements
which were executed between the parties before the Service Agreement.
AP/713/2023 is accordingly allowed and disposed of by appointing Mr.
Abhidipto Tarafdar, Counsel to act as the Arbitrator to resolve the disputes and
differences between the parties subject to the learned Arbitrator
communicating his consent in the prescribed form to the Registrar, Original
Side of this Court within three weeks from date.
The Advocate-on-Record of the petitioner will communicate this order on
the Arbitrator by 18th October, 2023 along with the relevant details of the
contact person.
(MOUSHUMI BHATTACHARYA, J.)
T.O.
A.R.(C.R.)
Publish Your Article
Campus Ambassador
Media Partner
Campus Buzz
LatestLaws.com presents: Lexidem Offline Internship Program, 2026
LatestLaws.com presents 'Lexidem Online Internship, 2026', Apply Now!