The court determined that disputes arising from multiple agreements related to a lease are arbitrable, appointing an arbitrator to resolve questions of applicability and obligations under the agreements.

ORDER (ORAL)

(Video-Conferencing)

1. This is a petition, under Section 11(6) of the Arbitration and Conciliation Act, 1996 (hereinafter referred to as "the 1996 Act"), seeking reference of the disputes, between the petitioners and the respondents, to arbitration.

2. The requisite notice invoking arbitration, was sent by the petitioner to respondents on 3rd June, 2020.

3. Though learned counsel are, ad idem, agreeable to the disputes being referred to arbitration (with a reservation by Respondent No. 2, to which I would presently allude), it may be appropriate to provide a brief conspectus of the factual matrix in which the dispute arises.

4. On 23rd June, 2011, a lease agreement was executed between the petitioner and Respondent No. 1, whereby the property located at SF-7, Second Floor, D-2, Southern Park, Saket District Centre, New Delhi-110017 was leased for nine years. The lease deed was registered on 28th June, 2011. Clause 16 of the lease deed provided for arbitration as the mode of resolution of the dispute between the parties, and read thus:

"16. In the event any dispute arises between the Parties out of or in connection with this Lease Agreement, including the validity thereof, the Parties hereto shall endeavour to settle such dispute amicably in the first instance. The attempt to bring about an amicable settlement shall be treated as having failed as soon as one of the Parties hereto, after reasonable attempts, which shall continue for not less than thirty (30) days, gives a notice to this effect to the other Party in writing. In case of such failure, the dispute shall be referred to a sole arbitrator, who shall be mutually appointed by the Parties. In the event the Parties are unable to mutually agree on the identity of the sole arbitrator in the manner specified above, then the arbitration proceedings shall be conducted by the three (3) arbitrators of which the first arbitrator shall be appointed by the Lessee, the second arbitrator jointly by the Lessors and both such arbitrators appointed shall mutually appoint the third presiding arbitrator. The arbitration proceedings shall be governed by the Arbitration and Conciliation Act, 1996 or any re-enactment or modification thereof and shall be held in New Delhi. The language of arbitration shall be English.

During the pendency of any dispute resolution exercise whether by negotiation or arbitration, the Parties shall continue to perform their respective obligations not under dispute under the Lease Agreement."

5. Vide a Deed of Assignment, dated 24th August, 2011, Respondent No. 1 assigned the aforesaid lease in favour of its sister concern. Clause 4 of the Deed of Assignment required the assignee to abide by the terms and conditions of the lease agreement and retained the covenants in the lease agreement unchanged.

6. On 25th August, 2011, a Deed of Adherence was executed amongst the petitioner and the respondents. Clause 10 thereof provided for arbitration for resolution of the disputes between the parties, which reads as under:

"10. In the event of any difference or dispute which may arise between the Parties during the continuance of this Adherence Deed or any extensions or renewals thereof, touching these presents or the construction or the application or the interpretation hereof or as to any other matter in any way relating to the transaction contemplated under these presents etc., which may be connected with any of the terms and conditions of these presents, which cannot be settled amicably between the Parties hereto, the same shall be referred to arbitration to be conducted