Delhi High Court
Casa2Stays Private Limited vs Vinod Chandraprasad Shukla Sole ... on 5 September, 2019
$~2
* IN THE HIGH COURT OF DELHI AT NEW DELHI
% Date of decision: 05.09.2019
+ ARB.P. 458/2019
CASA2STAYS PRIVATE LIMITED .... Petitioner
Through: Mr. Madhav Nanda and Mr. Lakshay
Sawhney, Advocates
versus
VINOD CHANDRAPRASAD SHUKLA SOLE PROPRIETOR
BLUE INN RESIDENCE ..... Respondent
Through: None
CORAM:
HON'BLE MS. JUSTICE JYOTI SINGH
ORDER
JYOTI SINGH, J. (ORAL)
1. This is a petition under Section 11(4) read with Section 11(6) of
the Arbitration and Conciliation Act, 1996 ('the Act') praying for
appointment of a Sole Arbitrator to adjudicate the disputes between
the parties.
2. On 22.07.2019, this Court had issued notice to the respondent to
be served through speed post and courier, returnable on 22.08.2019.
On 22.08.2019, counsel for the petitioner had submitted that the
respondent had been duly served and an affidavit of service had been
filed. The affidavit was, however, not on record and the matter was
listed for 05.09.2019.
3. The affidavit of service has been placed on record by the
learned counsel for the petitioner. The tracking report annexed to the
affidavit, shows that notice sent through speed post has been delivered
to the respondent on 19.08.2019. The matter was passed over three
times today, but there has been no appearance on behalf of the
respondent.
4. The disputes and differences have arisen between the parties
with respect to a Franchise Agreement dated 16.07.2018, executed
between the parties. The Agreement contains an Arbitration
Agreement in the form of clause 15 thereof, which reproduced below:
15.1. "The Parties shall initially attempt to resolve all
disputes pertaining to this agreement by negotiation
between senior business representatives who are at a
higher level of management than the persons with direct
responsibility for administration of the Agreement and
who have authority to settle the dispute, and (if they so
desire) counsel. If within a period of 30 (thirty) days of
the dispute arising, the Parties are unable to resolve the
same, the dispute shall be referred to Arbitration in
accordance with Clause 15.2 for settlement."
15.2. "Arbitration shall be conducted under the
Arbitration and Conciliation Act, 1996, in accordance
with the Arbitration Rules of the Singapore International
Arbitration Centre. The Arbitral Tribunal shall consist of
3 (three) arbitrators, out of which, each Party shall have
Right to appoint 1 (one) arbitrator each and the
arbitrators so appointed by each Party, shall jointly
appoint the third arbitrator. The venue shall be New
Delhi and the language used in the arbitral proceeding
shall be English."
5. Clause 15.2 states that the venue of the Arbitration shall be New
Delhi. Disputes having arisen between the parties, the petitioner
invoked the Arbitration Agreement, by sending a notice dated
18.01.2019, calling upon the respondent to nominate its Arbitrator and
nominating an advocate as one of the Arbitrators on behalf of the
petitioner.
6. Having received no response from the respondent within the
prescribed period of 30 days, the petitioner has filed the present
petition.
7. As the respondent has chosen not to appear despite service of
notice of this Court, the existence of the Arbitration Agreement and its
invocation remains uncontested.
8. I, therefore, see no impediment in appointing a Sole Arbitrator
for adjudicating the disputes that have arisen between the parties in
relation to the above-mentioned Agreement.
9. I accordingly appoint Ms. Monika Arora, Advocate (Add: B-
100, first Floor, Shivalik, Malviya Nagar, New Delhi-110017, Mob:
9810246300) as a Sole Arbitrator. The Arbitrator shall give disclosure
under Section 12 of the Act before entering into reference. The fee of
the Arbitrator shall be fixed as per the Fourth Schedule of the Act.
10. The petition is allowed in the above terms, with no orders as to
costs.
11. A copy of this order will be dispatched to the Arbitrator.
JYOTI SINGH, J
SEPTEMBER 05, 2019
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