MAHARAJAN, P.S.KAILASAM
K. V. Nagaraja Iyer & Brothers – Appellant
Versus
The Union of India, represented by the General Manager, Southern Railway, Madras – Respondent
MAHARAJAN, J.—
1. This is an appeal filed by the plaintiff in O. S. No. 4834 of 1969, against the order of the VI Assistant City Civil Judge, Madras, staying the trial of the suit on an application made by the plaintiff under S. 34 of the Indian Arbitration Act, 1940, and directing a reference of the matter to the arbitrators as per Cl. 25 of the conditions of the contract.
2. The appellant is a firm of engineering contractors who entered into a contract with the Southern Railways, Madras, for the supply of a certain number of cross arm channels. Some dispute arose between the railway administration and the appellant as to whether the administration was right in rejecting the supplies made, whereupon the appellant instituted the suit against the railway administration for the recovery of a sum of Rs. 24528-15 with interest at six percent per annum and for costs of suit. The defendant railway before filing a written statement, made a petition under S. 34 of the Indian Arbitration Act and prayed that as per Cl. 25 of the conditions of the contract between the parties, the dispute might be referred to two arbitrators, one to be nominated by the contractor and the other to be
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