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IN THE HIGH COURT OF DELHI
Pradeep Nandrajog, Mukta Gupta, JJ.
Sudhakar Tiwari - Appellant
Versus
Delhi Development Authority - Respondent
FAO (OS) 285 of 2015
Decided On : 04-02-2016




JUDGMENT

Pradeep Nandrajog, J. As per the award dated November 13, 2014, the appellant has been awarded a sum of Rs.2,62,000/- (Rupees Two Lacs and Sixty Two Thousand only); being the earnest money lying deposited with the Delhi Development Authority. The Delhi Development Authority has been awarded a sum of Rs.22,63,361/- (Rupees Twenty Two Lacs Sixty Three Thousand Three Hundred and Sixty One only) towards outstanding license fee payable by the appellant + pre-claim interest in sum of Rs.8,13,150/- (Rupees Eight Lacs Thirteen Thousand One Hundred and Fifty only). Pendente lite interest till publication of the award in favour of the Delhi Development Authority has been awarded @ 15% per annum. The earnest money payable by the Delhi Development Authority to the appellant has been directed to be adjusted. Challenge thereto before the learned Single Judge has failed vide impugned order dated March 20, 2015.

2. Responding to a notice inviting tender, which vide clause 1(vii) clearly indicated to the prospective bidders that `Before giving tender, the intending tenderer may inspect the site and satisfy himself about the location, area and its business prospects as also `The parking site is being tendered on As is Where is Basis. It is presumed that the intending tenderer has inspected the parking site and familiarized himself/herself with the prevailing conditions in all respect before submitted the tender. No claim/dispute about condition/capacity of the parking site shall be entertained by DDA. The tenderer cannot put any condition with his/her tender', for taking on license and operating a parking site for a period of three years, the appellant's bid being the highest bid was accepted and since he deposited the earnest money in sum of Rs.2,62,000/- (Rupees Two Lacs and Sixty Two Thousand only) being two months' advance license fee payable as security, on May 16, 2011 the possession letter was issued requiring appellant to take possession of the parking site which is in front of plot No.25-26, Rajender Place within 10 days. On May 25, 2011 physical possession of the parking site was taken over by the appellant as recorded in a possession slip which was duly signed by the appellant and the concerned Assistant Engineer.

3. A license-deed was executed between the parties; and regretfully we note that the space kept in the license-deed where the date of its execution was intended to be inserted by hand has not been filled up and while signing the same neither party has recorded the date. But apparent from the fact that the license-deed has been notarized on May 09, 2011, one can safely say that the license-deed was executed on or before May 09, 2011. The license-deed obliges appellant to pay license fee in sum of Rs.1,31,000/- (Rupees One Lac and Thirty One Thousand only) per month. The duration of the license is three years. In case of any dispute, the same had to be resolved through arbitration as per Clause 24 of the license-deed. Since an argument was advanced with reference to the jurisdiction of Sh.Vivin Ahuja, appointed as the Sole Arbitrator, to decide the dispute we note Clause 24 of the license agreement. It reads:

    "24. That in case of any dispute arising between the licensor and the licensee in respect of interpretation or performance of any terms of conditions of the license, the same shall be referred to the sole arbitrator of the Vice Chairman DDA whose decision thereon shall be final and binding on both the parties. The licensee shall not object to the Vice Chairman's of the Delhi Development Authority's action as sole arbitration on the ground that he had dealt with case or has at some stage expressed opinion in any matter connecting herewith."

4. The appellant did not pay the monthly license fee and continue to reap the benefit of the license. He managed the parking lot and pocketed the parking fee charged from the owners of the motor vehicles who used the parking lot. On August 04, 2011 the respondent issued

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