This petition is filed in terms of Section 11(6) of the Arbitration and Conciliation Act praying for the appointment of an arbitral tribunal comprising three members to adjudicate upon disputes arising inter se the parties.

2. The sequence of events as presented by Mr. Anirudh Krishnan appearing for the petitioner are as follows :

(i) A memorandum of understanding was entered into between Mecon Limited, the respondent herein (in short and hereinafter 'Mecon') and the Proprietor, Mycon Construction Limited, the petitioner herein (in short and hereinafter Mycon). The memorandum of understanding dated 23.7.2005 records the mutual interest of the parties to co-operate with one another in bidding for the project of installation of Lignite Handling Plant at Thermal Power Station - II (Expansion of Neyveli Lignite Corporation).

(ii) Reference was made to clause 7 of the MOU, reading as follows :

'In case of an award of Contract by the Client to MECON based on finally accepted terms and conditions and prices, MECON shall place order on MCC clearly defining the scope of work and terms and conditions as agreed between the Client and MECON i.e. on a back to back basis but on item rates agreed to by Mecon already.'

(iii) The parties thereafter entered into detailed discussions on 22nd and 23rd of November 2005 and the minutes of the meeting provided at clause 11 that 'all other terms and condition shall be as per terms and conditions of the tender document of NLC as agreed by Mecon till issue of LOA'.

(iv) The letter of intent dated 5.12.2005 issued by Mecon upon Mycon reiterates at Article 9.3 that all other terms and conditions as agreed by Mecon till date with NLC will be binding on MCC (Mycon).

(v) The contract was awarded to Mycon, by letter dated 2.3.2006 whereunder Mecon placed an order on Mycon for the total civil construction work as per the technical specifications set out in annexure I thereof for the Lignite Handling System for Thermal power Station which reads as under :

'With reference to above, we, M/s.MECON LIMITED (herein also referred to as MECON or the PURCHASER) are pleased to place order on M/s.Mysore Construction Company, Bangalore (herein also referred to as Mysore Construction Company or the CONTRACTOR or MCC) for total civil construction work as per Technical Specifications enclosed in Annexure-I hereof for Lignite Handling System for Thermal Power Station-II Expansion Project (2x250 MW) of M/s.Neyveli Lignite Corporation Limited, Neyveli (herein also referred to as NLC or the OWNER)'

(vi) The letter of award dated 02.03.2006 specifically states thus in the preamble :

'The terms and conditions specified in the MOM dated 23.07.2005, the terms and conditions of the tender document as agreed between M/s.NLC and MECON, which the Contractor confirms to be fully aware of, correspondences and Minutes of discussions mentioned in the list of references above also form part of this Letter of Award. The salient terms and conditions, however, are briefly stated herein below for ready reference and reckoning:'

3. The agreement between Mecon and NLC provides for the resolution of disputes by alternate dispute resolution mechanisms at clause 10.33.2, extracted hereunder :

'10.33.2 Resolution of Disputes :

Informal Dispute Resolution

10.33.2.1 The parties agree to use reasonable efforts to resolve all disputes equitably and in good faith, if any dispute between the Contractor and the PURCHASER arises it shall in the first instance be referred in writing to the PURCHASER, who shall endeavour to resolve the dispute amicably and render a decision within 30 days. The period of 30 days shall be reckoned from the date of intimation of the dispute is received by the PURCHASER.

10.33.2.2 Save as hereinafter provided, in respect of a dispute so referred, the decision of the PURCHASER shall be final and binding upon the parties until the completion of the Contract and shall forthwith be given effect to by the Contractor who shall proceed with the