( 1 ) THIS application under S. 11 (6) of the Arbitration and Conciliation Act, 1996 (for short the Act ) has been filed by the petitioner herein for appointment of arbitrator for adjudication of the claims and disputes between the parties hereto.

( 2 ) A Distribution Agreement dated 1-1-1993 had been entered into between the parties for distribution of the explosives and other accessories manufactured by the respondent herein. Disputes and differences having arisen between the parties, the applicant made several requests for referring the disputes to an arbitrator making a claim of US $ 707,710. 80 covering FOB value of defective goods delivered and disbursement costs incurred by it on several counts. The respondent in its letter dated 15-2-2000 recorded that the claim of US $ 707,710. 80 against the total FOB value of US $ 279,988. 40 is totally unsustainable and contrary to the specific terms agreed upon governing the supply. It was further recorded that as per General Terms of Sale, the maximum liability of IDL is US $ 279,988. 40. Thereafter, the applicant issued a notice on 10-3-2000 which is in the following terms :"mr. R. M. Unnisenior Executive Directoridl Industries Limi

Click Here to Read the rest of this document