This is an appeal against an order of Bhat J. accepting the application of the defendant for staying the suit and refering the matters in suit to arbitration.

The plaintiff brought a suit for the recovery of Rs. 22,000 as earnest money and damages against the defendant in respect of a contract given to him by the Union of India for storage accomodation somewhere near Udhampur. The plaintiffs case was that tenders were invited for starting the work of construction of storage accomodation and the plaintiff submitted his tender which was ultimately accepted. The plaintiff entered into contract with the defendant on the specific footing that the area where the work was to be carried on was an unrestricted area. Subsequently, however, when the Plaintiff visited the spot, he found that it was a restricted area and, therefore, he was unable to perform the contract on the terms accepted by him due to misrepresentation practised on him. The plaintiff wanted a substitution of a new contract on fresh terms but as the defendant did not agree to the same, the plaintiff has filed the present suit for damages and return of earnest money. While the suit was pending before the learned sing