Citation : 2025 Latest Caselaw 9511 Kant
Judgement Date : 28 October, 2025
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COMAP No. 200008 of 2025
C/W COMAP No. 200009 of 2025
HC-KAR
IN THE HIGH COURT OF KARNATAKA,
KALABURAGI BENCH
DATED THIS THE 28TH DAY OF OCTOBER, 2025
PRESENT
THE HON'BLE MR. JUSTICE H.T.NARENDRA PRASAD
AND
THE HON'BLE MR. JUSTICE TYAGARAJA N. INAVALLY
COMMERCIAL APPEALS NO. 200008 OF 2025
C/W
COMMERCIAL APPEALS NO. 200009 OF 2025
IN COMM. APP. NO.200008/2025:
BETWEEN:
M/S RAJDEEP BUILD CON PVT.LTD,
RAJDEEP HOUSE SAVADI,
AHILYABAI NAGAR (AHMED NAGAR)-414 001.
Digitally signed by
VARSHA N REPRESENTED BY ITS
RASALKAR AUTHORIZED REPRESENTATIVE,
Location: HIGH
COURT OF SRI. SANTOSH SHARMA
KARNATAKA
...APPELLANT
(BY SRI. SACHIN M. MAHAJAN, ADVOCATE)
AND:
1. THE PRINCIPAL SECRETARY,
PUBLIC WORKS DEPARTMENT,
VIKAS SOUDHA,
BENGALURU-560 001.
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COMAP No. 200008 of 2025
C/W COMAP No. 200009 of 2025
HC-KAR
2. THE CHIEF ENGINEER,
NATIONAL HIGHWAY (NORTH),
SUVARNA SOUDHA,
BELAGAVI-590 001.
3. THE EXECUTIVE ENGINEER,
NATIONAL HIGHWAY DIVISION,
PWD BHAVAN, GROUND FLOOR,
ROOM NO. 32, JEWARGI ROAD,
KALABURAGI - 585 102.
...RESPONDENTS
(BY SRI. VIRANAGOUDA M. BIRADAR, AGA)
THIS COMMERCIAL APPEAL IS FILED U/SEC. 13 (1) OF
THE COMMERCIAL COURTS ACT, 2015 R/W ORDER 43 RULE
1(r) OF THE CODE OF CIVIL PROCEDURE, PRAYING TO ALLOW
THE APPEAL, MODIFY THE IMPUGNED ORDER DATED
23.10.2025 PASSED BY THE LEARNED PRINCIPAL DISTRICT
JUDGE AND COMMERCIAL COURT AT KALABURAGI IN
COMMERCIAL AA NO. 3/2025 AND GRANT THE RELIEF OF
INTERIM INJUNCTION AS PRAYED FOR IN I.A NO. 2 IN
COMMERCIAL AA NO. 3/2025 UNDER ORDER 39 RULE 1 AND 2
R/W SECTION 151 OF THE CODE OF CIVIL PROCEDURE, R/W
SECITON 9 OF ARBITRATION AND CONCILIATION ACT, 1996
AND R/W SECTION 10(3) OF THE COMMERCIAL COURT ACT,
2015, BY ALLOWING THE APPEAL.
IN COMM. APP. NO.200009/2025:
BETWEEN:
M/S RAJDEEP BUILD CON PVT.LTD,
RAJDEEP HOUSE SAVADI,
AHILYABAI NAGAR (AHMED NAGAR)-414 001.
REPRESENTED BY ITS
AUTHORIZED REPRESENTATIVE,
SRI. SANTOSH SHARMA
...APPELLANT
(BY SRI. SACHIN M. MAHAJAN, ADVOCATE)
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COMAP No. 200008 of 2025
C/W COMAP No. 200009 of 2025
HC-KAR
AND:
1. THE PRINCIPAL SECRETARY,
PUBLIC WORKS DEPARTMENT,
VIKAS SOUDHA,
BENGALURU-560 001.
2. THE CHIEF ENGINEER,
NATIONAL HIGHWAY (NORTH),
SUVARNA SOUDHA,
BELAGAVI-590 001.
3. THE EXECUTIVE ENGINEER,
NATIONAL HIGHWAY DIVISION,
PWD BHAVAN, GROUND FLOOR,
ROOM NO. 32, JEWARGI ROAD,
KALABURAGI - 585 102.
...RESPONDENTS
(BY SRI. VIRANAGOUDA M. BIRADAR, AGA)
THIS COMMERCIAL APPEAL IS FILED U/SEC. 13 (1) OF
THE COMMERCIAL COURTS ACT, 2015 R/W ORDER 43 RULE
1(r) OF THE CODE OF CIVIL PROCEDURE, PRAYING TO, ALLOW
THE APPEAL, MODIFY THE IMPUGNED ORDER DATED
23.10.2025 PASSED BY THE LEARNED PRINCIPAL DISTRICT
JUDGE AND COMMERCIAL COURT AT KALABURAGI IN
COMMERCIAL AA NO. 3/2025 AND GRANT THE RELIEF OF
INTERIM INJUNCTION AS PRAYED FOR IN I.A NO. 1 IN
COMMERCIAL AA NO. 3/2025 UNDER ORDER 39 RULE 1 AND 2
R/W SECTION 151 OF THE CODE OF CIVIL PROCEDURE, R/W
SECITON 9 OF ARBITRATION AND CONCILIATION ACT, 1996
AND R/W SECTION 10(3) OF THE COMMERCIAL COURT ACT,
2015, BY ALLOWING THE APPEAL.
THESE APPEALS, COMING ON FOR ORDERS, THIS DAY,
JUDGMENT WAS DELIVERED THEREIN AS UNDER:
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COMAP No. 200008 of 2025
C/W COMAP No. 200009 of 2025
HC-KAR
CORAM: HON'BLE MR. JUSTICE H.T.NARENDRA PRASAD
AND
HON'BLE MR. JUSTICE TYAGARAJA N. INAVALLY
ORAL JUDGMENT
(PER: HON'BLE MR. JUSTICE H.T.NARENDRA PRASAD)
These appeals are filed under Section 13(1) of
Commercial Courts Act, 2015, challenging the order dated
23.10.2025, whereby the Commercial Court at Kalaburagi,
refused to grant ex-parte interim injunction in Comm.AA
No.3/2025 on applications filed under Order 39 Rule 1 and
2 of CPC r/w Section 9 of Arbitration and Conciliation Act,
1996. Since both the appeals are arising out of the same
Comm.AA No.3/2025, hence appeals are clubbed together,
heard and common judgment is being passed.
2. The case of the appellant is that the respondent
No.3 floated tender for the work of "Improvements to SH-
126 from AP Board Phutpak Gurmitkal - Handaraki Cross
Bheemanhalli Chittapur Dandoti via Gulbarga towards
Hyderabad connecting to State Highway (selected
stretches) (Job No.CRF-KNT-2013-1367)". The work order
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HC-KAR
in this regard was issued on 04.03.2014 and an
agreement was duly entered between appellant/Company
and the respondent No.3. As per agreement dated
04.03.2014, there were various breach on the part of
respondent No.3. Hence, the appellant has issued notice to
respondent No.3 for termination of the said contract work.
Thereafter, the appellant has also invoked Arbitration
Clause by approaching this Court in CMP No.200008/2025.
During the pendency, the respondent No.3 has terminated
the contract work and directed the concerned authority to
invoke the bank guarantee. Immediately, the appellant
has approached the Commercial Court by filing a petition
in Comm.AA No.3/2025 under Section 9 of the Arbitration
and Conciliation Act, 1996 along with applications under
Order 39 Rule 1 and 2 of CPC. The Trial Court refused to
grant ex-parte injunction order on applications filed by the
appellant on the ground that notice under Section 80 of
CPC has not been followed and notice has been issued to
the respondents.
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3. Learned counsel for appellant has also relied on
judgment of the Hon'ble Apex Court in the case of PAM
Developments Private Limited V. State of West
Bengal, reported in 2019 8 SCC 112, stating that the
Arbitration and Conciliation Act, is a self contained Act,
notice under Section 80 of Civil Procedure Code is not
required before initiating the proceedings under Section 9
of the Arbitration and Conciliation Act, 1996.
4. Be that as it may, learned Addl. Government
Advocate submits that by next date of hearing, the
Government Advocate will represent the respondents
before the Trial Court.
5. In view of the above, the following order is
passed:
ORDER
(a) The above appeals are disposed of.
(b) The Trial Court is directed to consider the applications filed by appellant/petitioner under
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Order 39 Rule 1 and 2 of CPC, in accordance with law, after hearing both the parties.
(c) Till then, the respondents are directed not to invoke the Bank guarantee of ICICI Bank of Rs.1,25,00,000/- dated 09.05.2018 (extended on 07.05.2025) bearing No.0005BGR0022019, furnished towards security deposit and the bank guarantee of ICICI Bank, dated 04.03.2014 bearing No.0005BG00133914, dated 04.03.2014 (extended on 26.03.2025) for a sum of Rs.2,69,72,700/- furnished towards performance guarantee of the above said work subject to condition that appellant/petitioner will renew the bank guarantee from time to time.
Sd/-
(H.T.NARENDRA PRASAD) JUDGE
Sd/-
(TYAGARAJA N. INAVALLY) JUDGE MSR
CT: SB
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