SURESH KUMAR KAIT
Asian Hotels (north) Ltd. – Appellant
Versus
Kumar Gallery Pvt. Ltd. – Respondent
JUDGMENT
(Oral)
The hearing has been conducted through video conferencing.
1. Present petition has been filed under Section 11(6) of the Arbitration and Conciliation Act, 1996 seeking appointment of an Arbitrator for adjudication of the disputes between the petitioner and respondent.
2. The facts of the case are that the petitioner is a public limited company listed on the National Stock Exchange and is the owner of a hotel located in a building complex in the name and style of Hyatt Regency, Bhikaji Cama Place, New Delhi.
3. Pertinently, the dispute inter se parties arise out of the License Agreement dated 18.01.1988 entered between the parties, by virtue of which respondent was permitted to use Shop No. U-68, located at the Shopping Arcade, Hotel Grand Hyatt, Bhikaji Cama Place, New Delhi. The said License Agreement was time to time extended through Renewal Agreements.
4. However, petitioner by communication dated 29.05.2020 revoked the license agreement and called upon the respondent to remove all its goods/belongings from the premises by 01.06.2020. On the contrary, respondent by communication dated 29.06.2020, disputed the aforesaid revocation and refused to remove all his goods
The acceptance of the termination of the License Agreement and the agreement to hand over possession rendered the petition moot, leading to its disposal.
Court found termination of License Agreement accepted by respondent, resolving disputes without further arbitration.
The court appointed an arbitrator to resolve disputes arising from license agreements, emphasizing prior rulings and compliance with statutory requirements.
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The court established that both parties must mutually agree on the appointment of an arbitrator to ensure unbiased adjudication and upheld the arbitration agreement between the parties.
The court affirmed the appointment of an arbitrator under Section 11 of the Arbitration and Conciliation Act, 1996, for disputes arising from an uncontested License Agreement.
The court confirmed the right to appoint an arbitrator due to the respondent's non-compliance with the terms of the agreement, affirming that the disputes were arbitrable.
The court's decision emphasized the arbitrability of the disputes and the appointment of a sole arbitrator under Section 11(5) of the arbitration and Conciliation act, 1996.
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