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23.01.2024

1.

The petitioner has filed this petition under Section 11 of the

Arbitration and Conciliation Act, 1996 [“the Act”] for appointment of an

arbitrator to adjudicate the disputes between the parties under an

Agreement dated 27.12.2014 and two addendums thereto.

2.

The record reveals that the parties had entered into a lease

agreement dated 01.10.2011 with regard to a property bearing No. 304 to

307, JP Towers, Tagore Road, Rajkot-360002. They thereafter signed

two agreements on 27.12.2014, one entitled “Agreement of Conducting”

and the other entitled as “Services Agreement”. Mr. Ashutosh Tiwari,

learned counsel for the petitioner, submits that the petitioner seeks

adjudication of disputes under the “Agreement of Conducting”.

3.

The two addendums placed on record are entitled, “Addendum to

Service Agreement” and “Addendum to Lease Deed”, both dated

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08.04.2022. It is the contention of Mr. Tiwari, that these are, in fact,

addendums to the “Agreement of Conducting”. Mr. Divyansh Jain,

learned counsel for the respondent, disputes this contention.

4.

In view of the fact that the lease deed contains an Arbitration

clause [Clause 24], which provides for arbitration to be held in Rajkot,

Mr. Jain initially raised a jurisdictional dispute to the present petition

being filed in this Court. However, Mr. Tiwari reiterates that the relief

sought in this petition is appointment of an arbitrator under the

“Agreement of Conducting”, and not under the lease deed. The said

agreement contains an arbitration clause [Clause 13], which provides for

arbitration to be held in Delhi. The petitioner also invoked the arbitration

clause by a letter dated 01.07.2023, to which no reply was received.

5.

Mr. Jain has taken instructions and submits that, in view of the

aforesaid clarification, the Court may appoint an independent arbitrator,

leaving all questions with regard to applicability of the addendums,

maintainability and merits of the claim open for consideration of the

learned arbitrator.

6.

Mr. Jain also states that the respondent would like to make an

attempt to resolve the disputes in mediation. Mr. Tiwari has no objection

to a reference to mediation, but submits that an arbitrator may also be

appointed with a request to defer the proceedings for a short time.

7.

The petition is disposed of with the consent of learned counsel for

the parties with the following directions:

a. The parties are referred to mediation under the aegis of Samadhan,

Delhi High Court Mediation and Conciliation Centre, Shershah

Road, New Delhi-110503.

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The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.

The Order is downloaded from the DHC Server on 25/01/2024 at 00:35:54

Page 3 of 3

b. They will appear before the learned Mediator on 30.01.2024.

c. In the event the mediation proceedings are unsuccessful, the

disputes between the parties under the “Agreement of Conducting”

dated 27.12.2014 will be adjudicated by arbitration under the aegis

of Delhi International Arbitration Centre, Delhi High Court,

Shershah Road, New Delhi [“DIAC”]. DIAC is requested to

nominate an Arbitrator from its panel.

d. The arbitration proceedings will be governed by the Rules of

DIAC, including as to remuneration of the learned Arbitrator.

e. The learned Arbitrator is requested to furnish a declaration under

Section 12 of the Act, prior to entering upon the reference.

f. In order to give the parties an opportunity to settle their disputes,

DIAC is requested not to take further steps in the arbitration

proceedings until 31.03.2023. If the mediation proceedings are still

pending, the parties may jointly request the DIAC for a further

adjournment.

8.

It is made clear that all rights and contentions of the parties,

including on the a