IN THE HIGH COURT OF JAMMU AND KASHMIR AND LADAKH AT SRINAGAR
SANJAY DHAR, J.
M/s Ace Consultants – Appellant
Versus
J&K Projects Construction Corporation Limited and Others – Respondents
Arbitration Petition Nos. 14, 15, 16, 17 of 2025
Decided On : 06-03-2026
JUDGMENT :
SANJAY DHAR, J.
1. By this common judgment, the afore-titled four arbitration petitions involving identical parties and common questions of law and fact are proposed to be decided together.
2. The petitioner, a proprietorship firm, has filed the present petitions under Section 11 (6) of the Arbitration and Conciliation, 1996 (hereinafter to be referred to as ‘Act’ seeking appointment of an independent arbitrator preferably a retired judge of this Court for adjudication of disputes that have arisen between the parties.
3. The subject matter of the arbitration petition No. 14 of 2025 is allotment order No. Mech XII/2518-22 dated 10.12.2012 relating to ‘Supply, Installation, Testing and Commissioning of Two No’s. G plus four 26 passenger bed lifts and one No. 400 kgs capacity G plus four dumb weightier at JLNM Hospital Rainawari Srinagar’. It has been submitted that whole of the amount due for the work done has not been released by the respondents and their outstanding claims have not been cleared so far. The petitioner has placed on record copy of certificate dated 21.10.2013 issued by respondent No. 3, which shows that in respect of the contract in question, the total cost of work was Rs. 67.00 lacs out of which payment of Rs. 40.00 lacs has been released and the balance outstanding payment is Rs. 27.00 lacs.
4. The subject matter of the arbitration petition No. 15 of 2025 is allotment order No. Mech XII/2543-47 dated 10.12.2012 relating to ‘Supply, Installation, Testing and Commissioning of one No. G + four 13 passenger electric traction lift at Sarie Building, Shreen Bagh, Srinagar’. It has been submitted that the respondents have not cleared whole of the amount in respect of the aforesaid work. According to the certificate issued by respondent No. 3 on 21.10.2013, the cost of the allotted work was Rs. 22.50 lacs out of which an amount of Rs. 5.00 lacs has been released in favour of the petitioner leaving a balance of Rs. 17.50 lacs.
5. The subject matter of the arbitration petition No. 16 of 2025 is allotment order No. Mech XII/2523-27 dated 10.12.2012 relating to ‘Supply, Installation, Testing and Commissioning of Two No’s. (G plus 03 and G plus 04) 26 passenger bed L D at Hospital Hazuri Bagh, Srinagar’ According to the petitioner, entire outstanding amount has not been released in its favour and as per certificate issued by respondent No. 3, total cost of the allotted work was Rs. 58.00 lacs out of which an amount of Rs. 52.20 lacs has been released in favour of the petitioner, leaving a balance amount of Rs. 5.80 lacs.
6. The subject matter of the arbitration petition No. 17 of 2025 is allotment order No. Mech XII/2538-42 dated 10.12.2012 relating to ‘Supply, Installation, Testing and Commissioning of Two No’s. (G +2) 26 passenger bed lifts at District Hospital, Baramulla’. It has been submitted that as per certificate dated 21.10.2013 issued by respondent No. 3 total cost of the work was Rs. 57.00 lacs out of which an amount of Rs. 39.90 lacs has been released in favour of the petitioner leaving a balance of Rs. 17.10 lacs.
7. It has been contended by the petitioner that a writ petition bearing WP(C) No. 2057/2017 was filed by it seeking a direction upon the respondents for releasing the pending payments and vide order dated 20.12.2017, the writ petition was disposed of with a direction that the petition be treated as representation on behalf of the petitioner and the respondents to accord consideration to the claim of the petitioner as detailed in the writ petition and to take a decision in accordance with law.
8. It has been submitted that despite directions of the writ court, the respondents did not decide the claim of the petitioner and ultimately the petitioner was constrained to file a contempt petition bearing CPOWP No. 214/2018 against the respondents. During the pendency of the contempt petition, consideration order No. 166 of 2019 dated 23.12.2019 came to be issued by the respondents whereby claim of the pet
Arbitration requests must be filed within three years of the cause of action; failure to act in time bars subsequent petitions.
The main legal point established in the judgment is that the limitation for filing an application under Section 11 of the Arbitration Act arises upon the failure to make the appointment of the arbitr....
Claims withdrawn do not reset the limitation period; the original cause of action's date governs the timeliness of arbitration requests.
The court held that its review under Section 11(6) is limited to confirming the existence of an arbitration agreement, without delving into substantive disputes, which is for the Arbitrator to decide....
The referral court under Section 11 of the Arbitration and Conciliation Act must determine the prima facie existence of an arbitration agreement and appoint an arbitrator if satisfied.
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.