G.S. Sistani, J.

1. Present objection petition has been filed by the petitioner under Section 34 of Arbitration and Conciliation Act, 1996, for setting aside the Award dated 10.12.2010 passed by a former Judge of this Court. The impugned award was rendered by the learned Arbitrator on a claim filed by the respondent/claimant against the petitioner company for alleged breach of Agreement to Lease dated 02.08.2007.

2. The facts, necessary to be noticed for disposal of the present petition, are that on 02.08.2007 an Agreement to Lease was executed between one Uppal Housing Limited and the petitioner company with respect to the lease of the premises bearing no.G-03 in Uppal’s Centra Mall, Chandigarh, the ground floor of the property bearing no.177-D, Industrial Area, Phase I, Chandigarh. As per clause 3 of the Agreement to Lease dated 02.08.2007, the lease of the premises was to commence on the date of offer of the possession of the demised premises to the petitioner company. The Lease was initially for a term of three years. Clause 3 of the lease agreement dated 02.08.2007 is being reproduced for ready reference as below:

“….. That the “Lease Commencement Date” or for that purpose the “Effective Date” for commencement of the lease for the initial term of three years, in respect of the Demised Premises shall be in effect from the date of offer of possession of the Demised Premises by the intending lessor to the intending lessee for fit outs; However, the possession of the demised premises will be delivered to the intending lessee subject to the simultaneous execution and registration of the lease deed, cost of registration and stamp duty shall be borne and paid by the intending lessee only. The intending lessee shall be liable to take possession of the demised premises within thirty days of such offer made by the intending lessor…………”

3. That thereafter on 02.05.2008, the demised premises were offered for possession to the petitioner company by “Uppal Housing Limited” and the petitioner company took the peaceful possession of the same on 07.07.2008. All the transactions and negotiations related to the leasing of the premises were carried out between “Uppal Housing Limited” and the petitioner company herein.

4. That thereafter vide sale deed dated 01.10.2008 the impugned premise was sold by “Uppal Housing Limited” to the Respondent company. As per the petition, intimation regarding change of ownership was not communicated by Uppal Housing Limited to the petitioner. Vide an email dated 3.11.2008 Uppal Housing Limited granted the petitioner company waiver of rent till 30.11.2008. Vide email dated 11.11.2008 Director of the respondent company wrote to the petitioner company intimating them that the said property had been transferred to the respondent and the petitioner is required to pay rent to the respondent. The Director of the respondent company also called upon the petitioner for completion of formalities of transferring the lease in the name of the respondent and getting it signed. By another communication dated 15.12.2008 Petitioner Company wrote to the respondent offering them a proposal for a profit sharing agreement which was declined by the respondent.

5. Thereafter vide termination notice dated 06.03.2009 the Petitioner Company issued a statutory notice to the respondent under Section 106 of Transfer of Property Act, 1882 by which the Agreement of 02.08.2007 was terminated and fifteen days notice was given.

6. It is the case of the petitioner that the Agreement was unregistered and insufficiently stamped. It is also the stand of the petitioner that accounts were finally settled and petitioner took into account the rent free period which was granted and the security deposit of Rs.7,23,200/- towards two months’ rent was paid.

7. On 23.3.2009, the petitioner handed over vacant and peaceful possession of the premises to the respondent. The petitioner also paid Rs.4, 84,990/- to the respondent towards rent for th