IN THE HIGH COURT OF ALLAHABAD
JASPREET SINGH, J.
Omex Autos Ltd. - Applicant
Versus
Hi-Tech Competent Builders Pvt. Ltd. - Opposite Party
CIVIL MISC. ARBITRATION APPLICATION NO. 4 OF 2023.
Decided On : 20-11-2023
| Table of Content |
|---|
| 1. jurisdiction is invoked under arbitration act. (Para 1) |
| 2. existence of arbitration clause under the agreement. (Para 2 , 3) |
| 3. petitioner claims work delays and seeks arbitration. (Para 4 , 5) |
| 4. respondent contests jurisdiction and arbitration invocation. (Para 6 , 7 , 8 , 9) |
| 5. dispute existence debated by parties. (Para 10 , 11) |
| 6. petitioner asserts arbitration clause invoked. (Para 12) |
| 7. court's discretion regarding jurisdiction is affirmed. (Para 17) |
| 8. court finds disputes exist, overruling objections. (Para 18 , 19 , 20) |
| 9. court emphasizes failure to follow arbitration procedures. (Para 21 , 22 , 23 , 24) |
| 10. improper invocation of arbitration; petition is not maintainable. (Para 26) |
| 11. petition deemed unmaintainable without proper arbitration invocation. (Para 27) |
| 12. court dismisses petition but leaves arbitration door open. (Para 28 , 29) |
JUDGMENT
Jaspreet Singh, J.
The instant petition has been preferred under section 11(6) of the Arbitration and Conciliation Act, 1996 (hereinafter referred to as "the Act of 1996", for short) for seeking appointment of an arbitrator to adjudicate the disputes having arisen between the parties arising out of an agreement dated 01.06.2019.
2. Shri Divyanshu Bhatt, learned counsel for the petitioner submits that the parties had entered into an agreement dated 01.06.2019 and the scope of work was largely relating to shed-large span, all miscellaneous civil/ structural work relating to setup of building, RCC Building and utilities, underground tanks, site plumbing works, road and development works and other enabling works. It is stated that the said agreement contained an arbitration clause in Clause 2.23 which read as under:-
"2.23 Settlement of Dispute: Arbitration
All disputes and differences of any kind whatever arising out of or in connection with the Contract or the carrying out of the works (whether during the progress of the works or after their completion and whether before or after the determination, abandonment or breach of the Contract) shall be referred to and whether before or after the determination, abandonment or breach of the Contract) shall be referred to and settled by the Architects who shall state his decision in writing. Such decision may be in the form of a final Certificate or otherwise. The decision of the Architects with respect to any of the excepted matters shall be final and without appeal as stated in the preceding Clause. But if either the Owner or the Contractor be dissatisfied with the decision of the Architects or any matter, question or dispute of any kind (except any of the excepted matters) or as to the withholding by the Architects of any Certificate to which the Contractor may claim (the owner of the Contractor) may within twenty-eight days after receiving notice of such decision give a written notice to the other party through the Architects requiring that such matters in dispute be arbitrated upon. Such written notice shall specify the matters which are in dispute and such dispute or difference of which such written notice has been given and no other shall be and is hereby referred to the Arbitration and final decision of a single Arbitration being a Fellow of the Indian Institute of Architects to be agreed upon and appointed both by the parties or in case of disagreement as to the appointment of a single Arbitrator to the Arbitration of two Arbitrators both being fellows of the Indian Institute of Architects, one to be appointed by each party, which Arbitrator shall before taking upon themselves the burden of reference appoint an Umpire.
The Arbitrator, the Arbitrators or the Umpire shall have power to open up, review and revise any Certificate, opinion, decision, requisition or notice, save in regard to the excepted matters in dispute which shall be submitted to him or them and of which notice shall have been given as aforesaid.
Upon every or any such reference in the cost of and incidental to the reference and Award respectively shal
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The court must dismiss a petition for arbitration if the arbitration clause is not properly invoked as specified in the agreement.
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