IN THE HIGH COURT OF DELHI AT NEW DELHI
Chandra Dhari Singh, J.
M/s Ambience Developers And Infrastructure Pvt. Ltd. – Appellant
Versus
M/s Zenith Dance Institute Pvt. Ltd. – Respondent
Arb.P. 61 of 2023
Decided On : 22-02-2023
Arbitration and Conciliation Act - Appointment of Sole Arbitrator - The court appointed a sole arbitrator to adjudicate the disputes arising from a Memorandum of Understanding (MoU) dated 30th April, 2018.
Fact of the Case:
The petitioner, a corporation, sought appointment of an arbitrator regarding disputes arising from a MoU with the respondent firm, which organized dance performances at the petitioner's shopping center.
Finding of the Court:
The court found that the disputes between the parties were arbitral in nature and appointed a sole arbitrator to adjudicate the disputes under the MoU.
Issues: Appointment of arbitrator under section 11 of the Arbitration and Conciliation Act, 1996.
Ratio Decidendi: The court referred the dispute to an Arbitral Tribunal by appointing a Sole Arbitrator to adjudicate the disputes arising from the MoU dated 30th April, 2018.
Final Decision: The court appointed Ms. Radhika Bishwajit Dubey as a sole arbitrator and directed the parties to appear before the arbitrator within 10 days.
ORDER
Chandra Dhari Singh, J. (Oral)
1. The instant petition has been filed by the petitioner under section 11 of the Arbitration and Conciliation Act, 1996 seeking appointment of arbitrator qua the disputes arising out of Memorandum of Understanding (MoU) dated 30th April, 2018.
2. Learned counsel appearing on behalf of the petitioner submitted that the petitioner is a corporation formed under the Companies Act with its registered office located at L-4, Green Park Extension, New Delhi- 110016. It is further submitted that the petitioner is the proprietor of the shopping centre known as Ambience Mall located on NH-8. The aforementioned shopping mall features retail centres, multiplexes, anchor stores, restaurants, a fun city/play children's zone, food courts, a hypermarket, exposition halls, etc., in addition to underground parking and other amenities.
3. It has been submitted on behalf of the petitioner that the respondent firm organises and conducts dance performances and has sought the petitioner to grant some space on a licencing basis in order to advertise and market their activities and products at Ambience Mall, NH8, Gurgaon -121001, Haryana.
4. It has been submitted on behalf of the petitioner that upon the respondent's request, the petitioner consented to lease respondent's dance studio space on the VI floor, Shop 602, near elevators 8 and 9 from 5th May, 2018 to 4th May, 2021. The parties agreed that in exchange for the respondent's dance performances at different mall events, the petitioner would waive the licensing fee for the period of the licence of the aforementioned dance studio. The respondent was required to pay actual costs for energy, heating, ventilation, air conditioning, Common Maintenance Charges, etc.
5. It has been submitted on behalf of the petitioner that at the time of the licence transfer of the aforementioned premises to the respondent, the terms and conditions of the agreement were documented in the MoU dated 30th April, 2018. It is further submitted that on 21st September, 2022, the respondent evacuated the aforementioned property and terminated the licence. However, the respondent has not paid the power, water, and Common Maintenance (CAM) fees.
6. It has been submitted on behalf of the petitioner that as per the bills of CAM, electricity, water charges issued to the respondent, an amount of Rs. 66,59,497/- is outstanding against the respondent. It is further submitted that the petitioner continuously requested the respondent to pay the aforementioned sum, the respondent, however, for one reason or another, did not pay the said amount despite repeated requests and reminders.
7. Learned counsel appearing on behalf of the respondent vehemently opposes the averments made in the instant petition however fairly concedes that the dispute between the parties is arbitral in nature. Therefore, has no objection if the dispute between the parties is referred to a Sole Arbitrator.
8. Heard the learned counsel for the parties and perused the record.
9. As agreed on behalf of the parties, this Court finds it evident to refer the dispute arising between the parties to an Arbitral Tribunal by appointing a Sole Arbitrator to adjudicate the disputes arising between the parties with respect to the MoU dated 30th April, 2018. Hence, the following order:
ORDER
i. Ms. Radhika Bishwajit Dubey, Advocate is appointed as a sole arbitrator to adjudicate the disputes between the parties which have arisen under the MoU dated 30th April, 2018;
ii. The learned sole arbitrator, before entering the arbitration reference, shall ensure the compliance of Section 12(1) of the Arbitration and Conciliation Act, 1996;
iii. The fee of the appointed sole arbitrator shall be in accordance with the schedule of fees prescribed under the Delhi International Arbitration Centre (Internal Management) Rules, 2012 and Delhi International Arbitration Centre (Administrative Cost and Arbitrators' Fees) Rules, 2012 as amended vide notificat
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