Citation : 2025 Latest Caselaw 2911 Tel
Judgement Date : 7 March, 2025
THE HON'BLE THE ACTING CHIEF JUSTICE SUJOY PAUL
ARBITRATION APPLICATION No.11 of 2025
ORDER:
Sri Vivek Jain, learned counsel for the applicant and
none appeared for the respondents.
2. The notices issued to the respondents returned with an
endorsement as "unclaimed".
3. Learned counsel for the applicant placed reliance on the
judgment of the Supreme Court in K.Bhaskaran v. Sankaran
Vaidhyan Balan 1 and submits that such notices must be
treated as served.
4. This Court finds substance in the argument of the
learned counsel for the applicant and therefore, the respondents
are treated to be served.
5. Learned counsel for the applicant is heard finally.
6. By taking this Court to the lease agreement, dated
04.05.2024, it is urged that the arbitration clause is contained
in clause 25 of the said lease agreement. In furtherance of
requirement of the said clause, the applicant has already sent a
(1997) 7 SCC 510
notice dated 28.11.2024 to respondent No.1. The respondents
did not comply with the requirement of the said clause 25 of the
lease agreement.
7. As noticed, nobody entered appearance for the
respondents, despite service.
8. Clause 25 of the lease agreement, dated 04.05.2024,
reads thus:-
"25. If at any time during the currency of this agreement, or thereafter any dispute, difference or question shall arise, the matter shall be resolved through mutual discussions, failing which the dispute arising between the parties here to concerning the subject matter of this agreement shall be settled by Arbitration to be conducted in accordance with the Indian Arbitration and Conciliation Act, 1996. Each party shall appoint one arbitrator within 30 days from the date of such dispute. The Arbitrators shall give their award within 60 days from the appointment of two Arbitrators. In case the Arbitrators do not reach the unanimous decision then the two Arbitrators shall appoint an umpire within 30 days from the date of their not reaching the unanimous decision. The Umpire shall award his decision within 30 days from the date of reference to him. The final award of the Umpire shall be binding on the parties hereto. The venue of the Arbitration shall be Hyderabad."
9. The applicant has shown that he has already sent notice,
dated 28.11.2024, in compliance of requirement of clause 25 of
the lease agreement.
10. The application and the notice show that there exists a
dispute between the parties which needs to be resolved through
arbitration. The applicant has fulfilled the requirement for
invoking the arbitration clause.
11. Resultantly, I deem it proper to appoint Sri B.S.Jag
Jeevan Kumar, former District Judge (R/o.H.No.13-6-877,
Banjawadi, Kulsumpura, Kariwansahu, Hyderabad - 500006,
Mobile No.9533777324), as sole arbitrator.
12. The parties shall approach the learned arbitrator.
13. The learned arbitrator is requested to conclude the
arbitration proceedings at the earliest.
14. The arbitration application is accordingly, disposed of.
Interlocutory applications, if any pending, shall also
stand closed.
_________________________ SUJOY PAUL, ACJ Date: 07.03.2025 sa/vs
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