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2025 Supreme(Online)(Kar) 21547

KARNATAKA HIGH COURT
E.S.INDIRESH, J
ROYAL HOLDINGS A PARTNERSHIP FIRM – Appellant
Versus
SHREE B S GNANANANDA CHANNARAJE URS PEETHADIPATHI OF DHAREGE DOODAVARAU SAMSTHANA MATH – Respondent
CIVIL MISC. PETITION NO.603 OF 2024



Advocates:
For the Appellants/Petitioners: Smt. Jyothi S.K.
For the Respondents: Sri Lohitaswa Banakar

Claims for arbitration must be instituted within the limitation period as mandated by law.

Headnote:In this case, the petitioner sought the appointment of an arbitrator under Section 11(6) of the Arbitration and Conciliation Act, 1996 due to the respondent's alleged failure to perform contractual obligations as per the Joint Development Agreement dated 25.10.2006. The court found that the claim was barred by time, referencing the Supreme Court’s ruling in Cox And Kings Ltd. vs. SAP India Pvt. Ltd. & Anr. (2024) 4 SCC 1. The main issue was whether the claim was within the limitation period, and the court reasoned that it was not, resulting in the petition's dismissal.

Table of Content
1. petitioner sought arbitration based on contractual terms. (Para 1 , 2 , 3)
2. court evaluates claims based on contractual obligations. (Para 4 , 5)
3. claim dismissed for being time barred. (Para 6 , 7)

ORAL ORDER

In this petition, the petitioner has sought for appointment of an Arbitrator under Section 11 (6) of the Arbitration and Conciliation Act , 1996.

2. Heard Smt.Jyothi S.K, learned counsel appearing for the petitioner, and Sri Lohitaswa Banakar, learned counsel appearing for the respondent.

3. Smt.Jyothi S.K, learned counsel appearing for the petitioner submitted with reference to Clause 7.2 of the Joint Development Agreement dated 25.10.2006 that, the provision has been made for resolution of the dispute through arbitration, and accordingly sought for interference of this Court. It is also submitted by the learned counsel appearing for the petitioner that, the respondent herein was obligated to perform his part of contract, and on account of failure on the part of the respondent, an Arbitrator has to be appointed in this petition.

4. Per contra, Sri Lohitaswa Banakar, learned counsel appearing for the respondent submitted that the claim made by the petitioner herein is barred by time since the Joint Development Agreement was executed between the parties on 25.10.2006, and that, the Joint Development Agreement is an unregistered document.

Therefore, he sought for dismissal of the petition.

5. In light of the submissions made by the learned counsel appearing for the parties, I have carefully examined the terms and conditions stipulated in the Joint Development Agreement dated 25.10.2006 (Annexure-A).

6. It is the case of the petitioner that, the dispute has arisen between the parties in respect of non- compliance of the obligation on the part of the respondent herein. It is also forthcoming from the petition that, the notice dated 18.07.2024 (Annexure-B) has been issued by the petitioner calling upon the respondent to appoint an Arbitrator for resolution of the dispute concerned.

7. Looking into the terms and conditions stipulated in the Joint Development Agreement dated 25.10.2006, I am of the view that, the claim made by the petitioner is time barred, and therefore, in view of the declaration of law made by the Hon'ble Supreme Court in the case of Cox And Kings Ltd. vs. SAP India Pvt. Ltd. & Anr. reported in (2024) 4 SCC 1 , I am of the view that the claim made by the petitioner is barred by time, and accordingly, petition is dismissed.

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