The court upheld the plaintiff's right to seek temporary injunction under Section 20 of the Arbitration Act, setting aside an unreasonable condition imposed by the lower court.

( 1 ) THE Revision Petition No. 4528 of 1991 is directed against the order, dated 10-10-1991 made on I. A. No. 1 in A. S. No. 1 of 1991 by the learned Civil Judge and J. M. F. C. , Ramanagaram, in so far as it imposes a condition that the petitioner should deposit a sum of Rs. 31,14,685/- in court within seven days from the date of the order failing which temporary injunction granted should automatically cease. The Revision petition No. 340 of 1992 is filed by the defendants against the same order passed on I. A. No. 1 in A. S. No. 1 of 1991, dated 10-10-1991 by the learned Civil Judge, Ramanagaram.

( 2 ) SINCE both the revision petitions arising out of common order, they are disposed of by common order.

( 3 ) FACTS in brief are that the petitioner in C. R. P. No. 4528 of 1991 is the plaintiff and the respondents are the defendants in the lower court and vice-versa in C. R. P. No. 340 of 1992. The material facts as stated in the lower court are that the petitioner-plaintiff filed an arbitration suit under Section 20 of the Arbitration Act against the respondents defendants (hereinafter the parties will be referred to as plaintiff and defendants as their status in the lower court) praying therein to pass an order of temporary injunction pending disposal of the arbitration suit restraining the defendants-respondents from alienating in any manner including by way of sale, mortgage, lease, parting with possession or otherwise the schedule property and interfering in any manner with the plaintiff-petitioner and its employees, agents, contractors and all other persons authorised by it from having free ingress and egress to the schedule property and carrying out all developmental activities therein in such manner as they deem fit, including using all vehicles, equipment, tools and other material as they deem fit.

( 4 ) ALONG with the suit, the plaintiff has filed I. A. No. 1 against the defendants under Section 41 (i) read with Schedule II item 4 of the Arbitration Act, 1940 with a prayer to pass an order of temporary injunction pending disposal of Arbitration suit, restraining the defendants from alienating in any manner including by way of sale, mortgage, lease or parting with possession or otherwise of the schedule property and from interfering in any manner with the plaintiff, its employees, agents, contractors and all other persons authorised by it from having free ingress and egress to the schedule property and carrying out all developmental activities therein, in such manner as they deem fit including using all vehicles, equipment, tools and other materials.

( 5 ) THE case of the plaintiff is that S. V. Ramaswamy and several others decided to become partners to form a partnership firm called Imperial Enclave and a partnership deed dated 5-2-1990 came into existence and the partnership business was deemed to commence from 2-2-1990 though the deed is entered into on 5-2-1990. The object of the partnership is to acquire immoveable property, obtaining permission from the Government and other authority/authorities for conversion of the properties acquired into residential area, developing the said property, forming layouts, providing roads, getting water and electricity connections, fencing the property etc. , and to act as contractor and to enable the business as can be mutually agreed upon from time to time. The plaintiff entered into an agreement with the defendants on 4-2-1990 among others, the defendants agreed to sell 35 acres 341/2 guntas including 16 guntas of kharab in S. Nos. 1, 2, 3, 4, 5 and 53/5 of Bheemanahally, Bidadi Hobli, Ramanagaram Taluk, for consideration of Rupees 44,54,685/ -. To sell it on as is where is basis either to the plaintiff or its nominee as desired by the plaintiff free from all encumbrances and the defendants received at the time of agreement a sum of Rs. 2,00,000/- under three cheques and the balance amount to be paid at various subsequent dates. The agreement further provided th