DELHI HIGH COURT
C.HARI SHANKAR
Manju Goel – Appellant
Versus
Aasha Hostels Pvt. Ltd. – Respondent
| Table of Content |
|---|
| 1. existence of a lease and dispute over rent payments. (Para 1 , 2 , 3 , 4) |
| 2. claim for outstanding rent by petitioner. (Para 5) |
| 3. inclusion and content of arbitration clause. (Para 6) |
| 4. determination of arbitrability of the dispute. (Para 7) |
| 5. financial circumstances of respondent irrelevant to arbitration. (Para 8) |
| 6. referral of disputes to arbitration decided. (Para 9) |
| 7. final order disposal of petition. (Para 10) |
ARB.P. 512/2021
1. This is a petition under Section 11 (6) of the Arbitration & Conciliation Act, 1996 ("the 1996 Act"), seeking reference of the disputes between the parties to arbitration.
2. The dispute arises out of a lease agreement dated 15th May, 2019, between the petitioner and the respondent. The petitioner alleges that there has been continuous default in payment of rent by the respondent, after March, 2020.
3. Ultimately, on 20th February, 2021, the petitioner issued a notice to the respondent, directing the respondent to vacate the premises. The respondent, in its reply dated 4th March, 2021, claimed waiver of rent on the ground of force majeure, owing to the intervention of the COVID-2019 pandemic.
4. The petitioner d
The court held that financial hardship cannot prevent arbitration based on a valid arbitration agreement if an arbitrable dispute is present.
The court held that disputes arising from a lease agreement, including claims related to force majeure, should be resolved through arbitration when both parties consent to arbitration.
The court applied the provisions of the Arbitration and Conciliation Act, 1996 to appoint an arbitrator and ensure compliance before commencing the arbitration.
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 agreeme....
The court must appoint an arbitrator under Section 11 of the Arbitration and Conciliation Act, 1996 when there is mutual consent and an existing arbitration agreement.
The court appointed an Arbitrator under Section 11(6) of the Arbitration and Conciliation Act, 1996, reaffirming that disputes regarding lease agreements and arbitration initiation can be resolved th....
The court upheld its jurisdiction to appoint an arbitrator in landlord-tenant disputes based on an arbitration clause, affirming party autonomy in jurisdictional matters despite objections.
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