Hindustan Construction Company ... vs Bihar Rajya Pul Nirman Nigam ...
2021 Latest Caselaw 4156 Patna

          IN THE HIGH COURT OF JUDICATURE AT PATNA
                           REQUEST CASE No.53 of 2020
     ======================================================

Hindustan Construction Company Ltd. a Company incorporated under the Companies Act, 1956, having its registered office at Hincon House, L.B.S. Marg, Vikhroli (West), Mumbai- 400 083, through its authorized representative Mr. Nilesh Vasant Mekel, son of Vasant Dasharath Mekel, aged about 44 years, Gender- Male, resident of Flat No. G- 2, Building No. C7, Mohan Puram CHS, Kansai Section, Jatale Hospital, Ambernath East, Thane- 421501, Maharashtra.

... ... Petitioner/s

Versus

1. Bihar Rajya Pul Nirman Nigam Limited a Company incorporated under the Indian Companies Act, 1956, having its registered office at 7, Sardar Patel Marg, Patna, Bihar- 800015, through the Managing Director.

2. The Managing Director, Bihar Rajya Pul Nirman Nigam Limited.

3. The Deputy Chief Engineer, South Bihar, Bihar Rajya Pul Nirman Nigam Limited.

4. The Engineer-in- Charge, Works Division- Gaya, Bihar Rajya Pul Nirman Nigam Limited.

... ... Respondent/s ====================================================== Appearance :

For the Petitioner/s : Mr. Nikhil Kumar Agrawal, Advocate Ms. Aditi Hansaria, Advocate For the Respondent/s : Dr. Anand Kumar, Advocate ====================================================== CORAM: HONOURABLE THE CHIEF JUSTICE ORAL JUDGMENT

(The proceedings of the Court are being conducted by Hon'ble the Chief Justice/Hon'ble Judges through Video Conferencing from their residential offices/residences. Also the Advocates and the Staffs joined the proceedings through Video Conferencing from their residences/offices.)

Date : 18-08-2021

This application has been moved seeking appointment

of an Arbitrator invoking the powers of this Court under Section

11(6) of the Arbitration and Conciliation Act, 1996.

There is no dispute about-(a) the legality, validity and

binding effect of the agreement dated 04.03.2014 entered into Patna High Court REQ. CASE No.53 of 2020 dt.18-08-2021

between the parties to the lis; (b) the existence of arbitration clause

contained therein; (c) the existence of dispute(s) arisen therefrom

and (d) the petitioner having put the party to notice of its intent

seeking arbitration under the agreement.

Learned counsel for the petitioner submits that

disputes and differences have arisen under the contract between the

parties dated 4th March, 2014 and as per Clause 25 of the Clauses of

Contract, the petitioner initially filed its claims before the Engineer

in-Charge on 17.05.2019 and thereafter, before the Deputy Chief

Engineer on 15.10.2019. The petitioner also filed an Appeal before

the Managing Director on 12.11.2019. However, no decision has

been taken in the aforesaid claims/appeal filed by the petitioner.

Accordingly, in terms of Clause 25 of Clauses of Contract, an

Arbitrator is required to be appointed as the Managing Director of

the Respondent has failed to decide the Appeal of the petitioner

within time stipulated therein. As such, there is no legal impediment

for this Court in entertaining the present petition and allowing the

same.

The sole ground for resistance of the petition, as

argued in the Court, is non-quantification of the claim. From the

communication dated 10th January, 2020, whereby the petitioner, in

exercise of its right, had named the Arbitrator, the claim stands

quantified. At one place, the figure mentioned is Rs.8883.65 lakhs.

Hence, the contention is misconceived.

Patna High Court REQ. CASE No.53 of 2020 dt.18-08-2021

Hence, this Court is inclined to allow the petition by

appointing an arbitrator.

As such, Hon'ble Mr. Justice Shivaji Pandey, Retired

Judge of the Patna High Court, Patna is appointed as learned

Arbitrator to adjudicate all disputes arising out of agreement dated

04.03.2014 entered into between the parties to the lis.

All pleas and issues raised, on merits, are left open to

be considered and decided by the learned Arbitrator.

Learned Arbitrator shall be entitled to fees as per

the Fourth Schedule of the Arbitration Act.

Since the dispute arises out of an agreement of the

year 2014, the hearing be expedited.

Parties undertake to fully cooperate and not take any

unnecessary adjournment.

The proceedings, during the time of current Pandemic-

Covid-19 shall be conducted through digital mode, unless the

parties otherwise mutually agree to meet in person i.e. physical

mode.

It is expected of the learned Arbitrator to adjudicate

the disputes expeditiously.

Joint Registrar (List) is directed to communicate the

order to the learned Arbitrator.

Learned counsel for the parties also undertake to

communicate the order to the learned Arbitrator. In fact, they Patna High Court REQ. CASE No.53 of 2020 dt.18-08-2021

volunteered to appear before him, through digital mode on 13 th of

September, 2021 and apprise him of the passing of the order.

Parties shall file their statement of claims before the

learned Arbitrator on such date of hearing which he may fix, as per

mutual convenience.

The Request Petition stands disposed of in the above

terms.

Interlocutory Application(s), if any, shall stand

disposed of.

(Sanjay Karol, CJ)

K.C.Jha/-

AFR/NAFR
CAV DATE
Uploading Date          23.08.2021
Transmission Date