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2012 Supreme(Del) 102

MANMOHAN SINGH
Ultra Home Constructions (P) Ltd. – Appellant
Versus
Choice Hotels International Inc. – Respondent


Advocates appeared:
For the Plaintiff:V. Giri, Sr. Adv with Narendra Kumar, Bipin Kumar, Rakesh Kumar, Suresh Chandra Sharma, Advocates.
For the Defendants:D2, K. Datta, with Manish Srivastava, Kapil, D3, Mudit Sharma with Moazzam Khan, Advocates.

Judgment :

MANMOHAN SINGH, J.

1. By this common order, I propose to decide two applications filed by the defendant Nos.2 and 3 being I.A. No. 335/2011 and IA No.336/2011 which are under Section 5 & 8 of the Arbitration and Conciliation Acts, 1996 (hereinafter referred to as “the Act”). As the prayer sought by both defendants is same, thus a common order is being passed.

2. The plaintiff has filed the present suit praying, inter alia, grant of decree of declaration that the assignment of the Franchise Agreement dated 19.06.2008 (hereinafter referred to as “the Franchise Agreement or FA”) and Hotel Operation Agreement dated 19.06.2008 (hereinafter referred to as “the Hotel Operation Agreement or HOA”) is bad in law, inter alia, seeking a declaration that applicant herein cannot unilaterally assign Franchise agreement as well as Hotel Operation Agreement, in favour of Defendant No.3 without prior consent or approval of the plaintiff. It is the case of the plaintiff that the subject matter of dispute vide the present suit cannot be subjected to arbitration and the suit filed by the plaintiff is maintainable.

3. As per the plaint, the plaintiff, with the intention of constructing a hotel
































































































































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