Oyo Hotels And Homes Private ... vs Hotel Barkha Pvt. Ltd. (Amayara ...
2021 Latest Caselaw 3518 Del

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*     IN THE HIGH COURT OF DELHI AT NEW DELHI
%                                           Date of decision: 17.12.2021
+     ARB.P. 127/2021
      OYO HOTELS AND HOMES PRIVATE LIMITED ..... Petitioner
                         Through      Mr. Vivek Gupta, Adv.

                         versus

      HOTEL BARKHA PVT. LTD. (AMAYARA
      HOSPITALITY) & ANR.                       .... Respondents
                    Through  Mr. Inderpreet Singh Jaidka, Adv.

      CORAM:
      HON'BLE MR. JUSTICE SURESH KUMAR KAIT

                         J U D G M E N T (oral)

1. The present petition has been filed under Section 11 (6) of the

Arbitration and Conciliation Act, 1996 seeking appointment of Sole

Arbitrator to adjudicate the disputes with respondents in terms of Clause 14

of the Online terms and conditions, which was mentioned in Clause 15 and

16 of Marketing and Operational Consulting Agreements dated 25.11.2019.

2. As per the averments made in the present petition, petitioner is an

incorporated Company, respondent No.1 is a hotel and respondent No.2 is

Director/Authorised Representative of respondent No.1 and is running a

hotel in the name Hotel Sheetal in Mahabaleshwar - 412806. Further,

respondents had approached the petitioner with a representation that

respondents are in possession of a property named Hotel Sheetal which can

be used on commercial purposes for hiring and letting. Based on the

representations of the respondents, the petitioner and respondents entered

into a Marketing and Operational Consulting Agreement dated 25.11.2019

by virtue of which petitioner was given the right to list the hotel of the

respondents on its online platform and portal as part of the OYO Rooms

property bearing OYO ID MBL017, in accordance with the agreed terms

and conditions as part of the aforesaid Agreement. In terms of the said

Agreement, the petitioner provided an advance amount to respondents

towards the increased capital expenditure on the renovation and

refurbishment works at the Hotel. It was agreed between the parties that the

respondents shall repay the said amount through equated monthly

installments to the petitioner and the respondent in this respect had issued

cheques in favor of the petitioner. However, the aforementioned cheques,

were dishonored by the respondents' bank citing various reasons. Thereafter

disputes arose between the parties. According to petitioner, the respondents

are indebted for an admitted outstanding amount of Rs. 11,17,226/-.

3. Learned counsel for petitioner submits that petitioner served with a

Legal Demand Notice dated 06.08.2020 to respondent for settling the

pending disputes, within the prescribed period. However, respondents failed

to respond to the same. Hence, the present petition has been filed.

4. During the course of hearing, learned counsel appearing for parties

pressed that this Court may appoint Sole Arbitrator to adjudicate the dispute

between the parties.

5. In view of the above and with the consent of parties, the present

petition is allowed. Accordingly, Mr. T.R. Naval, DHJS (Retd.) (Mobile:

9910384662) is appointed sole Arbitrator to adjudicate the dispute between

the parties.

6. The fee of the learned Arbitrator shall be governed by the Fourth

Schedule of the Arbitration and Conciliation Act, 1996.

7. The learned Arbitrator shall ensure compliance of Section 12 of

Arbitration and Conciliation Act, 1996 before commencing the arbitration.

8. The present petition stands disposed of accordingly.

9. A copy of this order be sent to the learned Arbitrator for information.

(SURESH KUMAR KAIT) JUDGE DECEMBER 17, 2021 rk