The relief sought under Section 9 of the Arbitration Act must be in the nature of interim measures to protect the subject matter of the arbitration and cannot extend to permanent injunctions.

ORDER

Chandra Dhari Singh, J. (Oral)

I.A. No. 14394/2022 (Amendment of pleadings)

1. The instant application under Order VI Rule 17 read with Section 151 of the Code of Civil Procedure, 1908, has been filed on behalf of the petitioners/applicants seeking amendment of the relief claimed in the captioned petition.

2. Learned counsel appearing on behalf of the applicants submitted that petitioners filed the instant petition under Section 9 of the Arbitration and Conciliation Act, 1996 (hereinafter "Arbitration Act") in view of threats issued by respondent vide letter dated 1st July 2022 to terminate the Letter of Acceptance (hereinafter "LoA") dated 9th February 2022. However, the petitioners were obligated to make the payment of the Lease Premium only for an encumbrance free land, which the respondent could not provide.

3. It is submitted that the instant matter was listed on 11th July 2022 where the counsel for the respondent sought time to file a reply to the petition. On the said date, the learned counsel for the petitioners sought to press the grant of order for injunction against the respondent qua the termination of LoA dated 9th February 2022. However, no interim order was granted in favour of the petitioners.

4. It is submitted that the respondent in utter malice sought time to furnish reply to the petition, however, instead of filing the said reply the respondent terminated the LoA vide communication dated 19th July 2022. Therefore, by way of this application, the petitioners are seeking that this Court may allow the petitioners to amend the prayer clause to add the following prayer:

"Interim relief of status-quo ante qua the termination LOA dated 09.02.2022 and land admeasuring 35,127 sq. mtr., which is subject matter of LOA, be directed to be maintained till disposal of the Section 9 Petition."

5. On the contrary, the learned counsel for the respondent opposed the amendment sought on behalf of the petitioners and submitted that the instant relief sought by way of amendment is not maintainable under Section 9 of the Arbitration Act.

6. Heard learned counsel for the parties and perused the contents of the application.

7. In the instant application, the petitioners are seeking to amend the relief clause and add the prayer of status quo ante termination of the LoA dated 9th February 2022. However, at this stage it is crucial to examine that the termination already made final by the respondent cannot be challenged by the petitioners by way of a Section 9 petition.

8. As per Term 3 of the LoA, it is evident that the same was terminable in case of deficiencies on the part of the petitioners. Therefore, where the LoA was in fact terminated, no relief lies in favour of the petitioners/applicants for challenging the order of termination on merits. A similar view has been taken by a Division Bench of this Court in M/s Inter Ads Exhibition Pvt Ltd. vs. Busworld International Cooperatieve Vennotschap Met Beperkte Anasprakelijkheid, 2020 SCC Online Del 2485 while holding the following:

"15. Since the contract in the present case was terminable and as the issue of the legality of the action of termination has yet to be determined and further, since wrongful termination can be restituted by awarding of damages, in the event the appellant is able to establish that the said termination was illegal and invalid, the learned Single Judge has rightly declined the reliefs prayed for by the appellant in the Section 9 petition."

9. This Court, exercising its powers under Section 9 of the Arbitration Act, cannot go into the merits of the termination order and adjudicate upon a challenge to the same.

10. Therefore, this Court does not deem it fit to allow the instant application as the same goes beyond the scope of relief that may be sought along with a petition under Section 9 of the Arbitration Act.

11. Accordingly, the instant application stands dismissed.

O.M.P.(I) (COMM.) 213/2022

12. The instant petition under Section 9 of the Arbi