Necessity for registration of award passed by arbitrator.

Lakshmanan, J.

Original Petition No. 205 of 1990 was filed by the three arbitrators under Section 14 sub-cl. (2) of the Indian Arbitration Act to receive the award dated 10-1-1990, the copy of the arbitration agreement, dated 12th September, 1989 and the documents filed as per the Schedule attached to the said original petition and to order notice to the respondents. The respondents 1 to 3 are the sons of late L. Milapchand Dadha. The arbitrators were appointed under an agreement, dated 12th September, 1989 entered into between the respondent herein and in the dispute between them. The disputes arose between the respondents, who are the sons of late L. Milapchand Dadha, following the death of their father on 11th October, 1976. The three arbitrators/petitioners in Original Petition No. 205 of 1990 were appointed to decide the disputes arose between the respondents. The arbitration proceedings commenced on 12th September, 1989 and concluded on 10th January, 1990, when the award was pronounced. According to the petitioners, all the respondents were heard during the enquiry and a number of documents were filed by both the parties. The third respondent Mahipal Dadha (in O.P. No. 205 of 1990) filed a counter statement, dated 27th March, 1991. In para 5 of the counter statement, the third respondent has raised a preliminary objection to the effect that the award in question relates to creation and extinguishment of interest in immovable property and hence should have been registered in accordance with the provisions of the Indian Registration Act.

2. The respondents 1 & 2 have filed a separate counter-affidavit, dated 2nd April, 1991. They have denied that the award creates or extinguishes any interest in immovable property. According to them, the award in question does not create, declare, assign, limit or extinguish any right or interest in immovable property, and that therefore, the award does not require registration under the Indian Registration Act.

3. Respondent-3 in O.P. No. 205 of 1990 has also filed O.P. No. 552 of 1990, impleading the respondents 1 and 2 in O.P. No. 205 of 1990 as respondents 4 and 5 and the arbitrators as respondents 1 to 3 under sub-sections 15, 30 and 33 of the Indian Arbitration Act to set aside or modify the award dated 10-1-1990 filed in O.P. No. 205 of 1990. He has challenged the award in question on various grounds. The said original petition is resisted by the respondents 1 and 2 in O.P. No. 205 of 1990 on various points. Since in O.P. No. 205 of 1990, we are concerned with regard to the preliminary objection raised by the third respondent, this Court is not considering any of the challenges made against the award. Hence, Original Petition No. 205 of 1990 is disposed of only on the preliminary objection raised by the third respondent to the effect that the award in question relates to creation and extinguishment of interest in immovable property and hence should have been registered in accordance with the provisions of the Indian Registration Act and the award not being registered, the award cannot be received and looked into by this Court for want of registration. At the request of both parties, the preliminary objection alone was taken into consideration.

4. I have heard the elaborate arguments advanced on behalf of the respondents. Mr. V. Ramachandran was heard on behalf of the respondents 1 and 2 and Mr. M. R. Narasimhan was heard on behalf of the third respondent.

5. In order to appreciate the rival contentions of the parties, it is necessary for me to refer to certain facts. The respondents have entered into an agreement on 12-9-1989, referring the questions and matters referred to therein to the final determination of Mr. Parasmal Chordia, S. Mohanchand Dadha, M. Motichand Golechha. This agreement contains the points raised by Mahipal Dadha, the third respondent in O.P. No. 205 of 1990 and Mr. Mahendra Dadha and Mr. Maher Dadha. Point No. 5 raised by the third respondent concerns o