ARBAP/19/2022
2022 Latest Caselaw 3003 UK

      IN THE HIGH COURT OF UTTARAKHAND
                  AT NAINITAL

       THE HON'BLE THE CHIEF JUSTICE SRI VIPIN SANGHI

           ARBITRATION APPLICATION NO. 19 OF 2022

                      16th SEPTEMBER, 2022

Between:

M/s Litmus Marine Innovation
Private Limited                             ...... Applicant/Petitioner

and

Uttarakhand Tourism
Development Board                           ......          Respondent



Counsel for the applicant      :       Mr.   Neeraj    Garg,    learned
                                       counsel

Counsel for the respondent     :       Mr. Hari Mohan Bhatia, learned
                                       counsel



The Court made the following:


JUDGMENT:

This Arbitration Application has been preferred

by the applicant to seek appointment of a sole Arbitrator to

adjudicate the disputes which have arisen between the

parties in respect of the Contract Agreement entered into

between the parties for development of Adventure Tourist

Centre Uttarakhand - Lot - 1, supply of Adventure Sports

Equipment (Water Sports), Contract Package Nos:

UK/IDIPT/DDN/06-Lot 1/P2.

2) The cost of works under the Contract was

estimated as Rs.8,02,82,069.59. According to the

applicant, dispute arose between the parties, and the

Arbitration Clause contained in Clause GCC 10.2 was

invoked by the applicant vide a legal notice dated

10.12.2018.

3) The Arbitration Agreement between the parties

reads as follows:

"GCC 10.2:

The formal mechanism for the resolution of disputes shall be:

For a contract with a Local Supplier : "In the case of a dispute between the Purchaser and the Supplier, the dispute shall be settled by arbitration in accordance with the Indian Arbitration and Conciliation Act, 1996 or any statutory modification or enactment thereof.

The place of arbitration shall be Dehradun, Uttarakhand.

The language of arbitration shall be English.

Appointing Authority for the Arbitrator : Chairperson of Institute of Engineers, "Uttarakhand" State Centre, Dehradun.

The expenditure incurred in the Arbitration process will be borne by either the Purchaser or the Supplier, as directed by the Arbitrator."

4) The notice invoking arbitration was issued to the

Chairman, Institute of Engineers, Uttarakhand State

Centre, Saharanpur Road, Majra, Dehradun. Despite

issuance of the said notice, the Appointing Authority has

not made the appointment of the Arbitrator and,

consequently, this application has been preferred.

5) Learned counsel for the respondent, on

instructions, has not disputed the fact that parties entered

into aforesaid Contract Agreement, which also contains the

Arbitration Clause. Since the Appointing Authority has not

made the appointment of the Arbitrator in terms of the

Arbitration Agreement, I am inclined to allow this

application.

6) Accordingly, I appoint Mr. Justice V.K. Bist,

Retd. Chief Justice, Sikkim High Court, to act as a sole

Arbitrator to adjudicate all the disputes which have arisen

between the parties under the aforesaid agreement.

________________ VIPIN SANGHI, C.J.

Dt: 16th SEPTEMBER, 2022 Negi