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2022 Supreme(Del) 7

SURESH KUMAR KAIT
Kake Di Hatti – Appellant
Versus
Shree Foods – Respondent


Advocates Appeared:
For the Petitioner: Mr. Parvinder Chauhan.
For the Respondent: Mr. Rajat Sang Sharma.

JUDGMENT :

1. The present petition has been filed under Section 11 of the Arbitration and Conciliation Act, 1996 seeking appointment of sole Arbitrator to adjudicate the disputes inter se the parties.

2. As per the averments made in petition, petitioner is a sole proprietorship concern and is a brand in food and hospitality sector having multiple chain of restaurants. Pertinently, owing to its established goodwill and client base, respondents approached the petitioner seeking franchisee. After detailed discussions, Franchisee Agreement dated 19.06.2019 was entered between the parties. It is also averred that the franchise business was commenced from the outlet located at C-9/12, Ground Floor, Sector-7, Rohini, Delhi-110085. Respondents were required to pay a monthly royalty fee @ Rs.1,13,000/- and applicable GST to petitioner in terms of the agreement. However, the respondents committed several breaches of the agreements and the royalty fee has not been paid since January, 2020. Consequently, petitioner issued a Defect Cure Notice dated 27.11.2020 to respondents for defaults in compliance of obligations under Article 1.7 of the Franchisee Agreement dated 19.06.2019 and called upon th

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