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2023 Supreme(Bom) 61

MANISH PITALE
PSP Projects Limited – Appellant
Versus
Bhiwandi Nizampur City Municipal Corp. , through Municipal Commissioner – Respondent


Advocates Appeared:
For the Petitioner: Mr. Sharan Jagtiani, Senior Counsel, a/w Mr. Rohil Bandekar and Ms. Sheetal Shah i/by M/s. Mehta & Girdharlal.
For the Respondent: Mr. Ram S. Apte, Senior Counsel i/by M.J. Bhatta.

JUDGMENT :

1. In this petition filed under Section 11(6) of the Arbitration and Conciliation Act, 1996, two questions arise for consideration. Firstly, as to whether the Petitioner is entitled to seek appointment of Arbitrator by invoking an Arbitration clause contained in an agreement executed between the parties and if so whether the Arbitration Clause is hit by Section 12(5) read with the Seventh Schedule to the said Act. Secondly, whether the Respondent forfeited its right to appoint Arbitrator, having failed to appoint one after expiry of the period specified in the notice invoking Arbitration issued by the Petitioner and upon the Petitioner filing the present petition before this Court.

2. Before discussing the position of law, in order to answer the aforesaid questions, in the light of the judgments brought to the notice of this Court, it would be appropriate to briefly state the facts, leading up to filing of the present petition.

3. The Petitioner is a company engaged in the business of construction and the Respondent is the Bhiwandi Nizampur City Municipal Corporation. The Petitioner was a successful bidder in a tender floated by the Respondent – Corporation for construction

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