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2025 Supreme(Online)(Kar) 38507


HC-KAR IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 24THDAY OF OCTOBER, 2025 BEFORE THE HON'BLE MR. JUSTICE SURAJ GOVINDARAJ CIVIL MISC. PETITION NO. 458 OF 2025 AND R CIVIL MISC. PETITION NO. 460 OF 2025 CMP No.458/2025:
BETWEEN:
1. MR. SHAMASUNDER NAYAK AGED ABOUT 58 YEARS, SON OF LATE MANJUNATHA NAYAK, 2. MR. VASANTHA NAYAK, AGE 55 YEARS SON OF LATE MANJUNATH NAYAK BOTH RESIDING AT DOOR NO. 110/7C/8 'SRI RAKSHA', T.T. ROAD, KUNDAPURA- 576 201 Digitally signed by SHWETHA …PETITIONERS RAGHAVENDRA (BY SRI. VIVEK B R.,ADVOCATE)
Location: HIGH COURT OF AND:
KARNATAKA MR. GURUDUT V KAMATH AGED ABOUT 54 YEARS, SON OF LATE P.V. KAMATH, R/AT FLAT NO. 26, ARADHANA, R.K. PATKAR'S SOCIETY, 11/15, OFF TURNER ROAD, BANDRA WEST, MUMBAI 400050, MAHARASHTRA.
ALSO AT HC-KAR
801, 8TH FLOOR, ESPERENZA, LINKING ROAD, NEXT TO BANK OF BARODA, BANDRA (WEST), MUMBAI-400 050 E-MAIL GVKAMATH71@GMAIL.COM …RESPONDENT (BY SRI. PRANAV VISHWANATH., ADVOCATE.,ADVOCATE)
THIS CMP IS FILED UNDER SECTION 11(6) OF THE ARBITRATION AND CONCILIATION ACT, 1996 PRAYING TO APPOINT SRI. J.P.N. DESAI (RETIRED JUDGE, HONBLE HIGH COURT OF KARNATAKA) OR ANY OTHER SUITABLE PERSON AS THE SOLE ARBITRATOR TO ADJUDICATE THE DISPUTES BETWEEN THE PETITIONER AND THE RESPONDENT ARISING OUT OF THE DEED OF PARTNERSHIP DATED 18.08.2000 PERTAINING TO THE PARTNERSHIP FIRM M/S. SRI. RAKSHA FRAGRANCES (AS PER CLAUSE 18 OF THE AGREEMENT PRODUCED AT ANNEXURE A) AND ETC.
IN CMP NO.460/2025:
BETWEEN:
MR. SHAMASUNDER NAYAK AGED ABOUT 58 YEARS, SON OF LATE P MANJUNATHA NAYAK, R/AT D. NO. 110-7C/8, SRIRAKSHA, T.T. ROAD, KUNDAPURA - 576 201, KARNATAKA.
…PETITIONER (BY SRI. VIVEK B R.,ADVOCATE)
AND:
MR. GURUDUT V KAMATH AGED ABOUT 54 YEARS, S/O LATE P.V. KAMATH, R/AT FLAT NO. 26, ARADHANA, R.K. PATKARS SOCIETY, 11/15, OFF TURNER ROAD, BANDRA WEST, MUMBAI - 400050, MAHARASHTRA.
ALSO AT
801, 8TH FLOOR, ESPERENZA, LINKING ROAD, NEXT TO BANK OF BARODA, HC-KAR BANDRA (WEST), MUMBAI-400 050 E-MAIL gvkamath71@gmail.com …RESPONDENT (BY SRI. PRANAV VISHWANATH., ADVOCATE)
THIS CMP IS FILED UNDER SECTION 11(6) OF THE ARBITRATION AND CONCILIATION ACT, 1996 PRAYING TO APPOINT SRI. J.P.N. DESAI (RETIRED JUDGE, HONBLE HIGH COURT OF KARNATAKA) OR ANY OTHER SUITABLE PERSON AS THE SOLE ARBITRATOR TO ADJUDICATE THE DISPUTES BETWEEN THE PETITIONER AND THE RESPONDENT ARISING OUT OF THE DEED OF RECONSTITUTION OF PARTNERSHIP DATED 17.08.2013 PERTAINING TO THE PARTNERSHIP FIRM M/S. SRI. RAKSHA BIOTECH (AS PER CLAUSE 18 OF THE AGREEMENT, PRODUCED AT ANNEXURE B) AND ETC.
THESE CMP’S, COMING ON FOR ADMISSION, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:
CORAM: HON'BLE MR. JUSTICE SURAJ GOVINDARAJ
IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 24THDAY OF OCTOBER, 2025 BEFORE THE HON'BLE MR. JUSTICE SURAJ GOVINDARAJ CIVIL MISC. PETITION NO. 458 OF 2025 AND R CIVIL MISC. PETITION NO. 460 OF 2025 CMP No.458/2025:
BETWEEN:
11. MR. SHAMASUNDER NAYAK AGED ABOUT 58 YEARS, SON OF LATE MANJUNATHA NAYAK, 2. MR. VASANTHA NAYAK, AGE 55 YEARS SON OF LATE MANJUNATH NAYAK BOTH RESIDING AT DOOR NO. 110/7C/8 'SRI RAKSHA', T.T. ROAD, KUNDAPURA- 576 201 Digitally signed by SHWETHA …PETITIONERS RAGHAVENDRA (BY SRI. VIVEK B R.,ADVOCATE)
Location: HIGH COURT OF AND:
KARNATAKA MR. GURUDUT V KAMATH AGED ABOUT 54 YEARS, SON OF LATE P.V. KAMATH, R/AT FLAT NO. 26, ARADHANA, R.K. PATKAR'S SOCIETY, 11/15, OFF TURNER ROAD, BANDRA WEST, MUMBAI 400050, MAHARASHTRA.
ALSO AT
801, 8TH FLOOR, ESPERENZA, LINKING ROAD, NEXT TO BANK OF BARODA, BANDRA (WEST), MUMBAI-400 050 E-MAIL GVKAMATH71@GMAIL.COM …RESPONDENT (BY SRI. PRANAV VISHWANATH., ADVOCATE.,ADVOCATE)
THIS CMP IS FILED UNDER SECTION 11(6) OF THE ARBITRATION AND CONCILIATION ACT, 1996 PRAYING TO APPOINT SRI. J.P.N. DESAI (RETIRED JUDGE, HONBLE HIGH COURT OF KARNATAKA) OR ANY OTHER SUITABLE PERSON AS THE SOLE ARBITRATOR TO ADJUDICATE THE DISPUTES BETWEEN THE PETITIONER AND THE RESPONDENT ARISING OUT OF THE DEED OF PARTNERSHIP DATED 18.08.2000 PERTAINING TO THE PARTNERSHIP FIRM M/S. SRI. RAKSHA FRAGRANCES (AS PER CLAUSE 18 OF THE AGREEMENT PRODUCED AT ANNEXURE A) AND ETC.
IN CMP NO.460/2025:
BETWEEN:
MR. SHAMASUNDER NAYAK AGED ABOUT 58 YEARS, SON OF LATE P MANJUNATHA NAYAK, R/AT D. NO. 110-7C/8, SRIRAKSHA, T.T. ROAD, KUNDAPURA - 576 201, KARNATAKA.
…PETITIONER (BY SRI. VIVEK B R.,ADVOCATE)
AND:
MR. GURUDUT V KAMATH AGED ABOUT 54 YEARS, S/O LATE P.V. KAMATH, R/AT FLAT NO. 26, ARADHANA, R.K. PATKARS SOCIETY, 11/15, OFF TURNER ROAD, BANDRA WEST, MUMBAI - 400050, MAHARASHTRA.
ALSO AT
801, 8TH FLOOR, ESPERENZA, LINKING ROAD, NEXT TO BANK OF BARODA, BANDRA (WEST), MUMBAI-400 050 E-MAIL gvkamath71@gmail.com …RESPONDENT (BY SRI. PRANAV VISHWANATH., ADVOCATE)
THIS CMP IS FILED UNDER SECTION 11(6) OF THE ARBITRATION AND CONCILIATION ACT, 1996 PRAYING TO APPOINT SRI. J.P.N. DESAI (RETIRED JUDGE, HONBLE HIGH COURT OF KARNATAKA) OR ANY OTHER SUITABLE PERSON AS THE SOLE ARBITRATOR TO ADJUDICATE THE DISPUTES BETWEEN THE PETITIONER AND THE RESPONDENT ARISING OUT OF THE DEED OF RECONSTITUTION OF PARTNERSHIP DATED 17.08.2013 PERTAINING TO THE PARTNERSHIP FIRM M/S. SRI. RAKSHA BIOTECH (AS PER CLAUSE 18 OF THE AGREEMENT, PRODUCED AT ANNEXURE B) AND ETC.
THESE CMP’S, COMING ON FOR ADMISSION, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:
CORAM: HON'BLE MR. JUSTICE SURAJ GOVINDARAJ

ORAL ORDER

1. The Petitioners in CMP No.458/2025 are before this Court seeking for the following reliefs;

i. Appoint Sri J.P.N. Desai (retired Judge, Hon’ble High Court of Karnataka) or any other suitable person as the sole Arbitrator to adjudicate the disputes between the petitioner and the Respondent arising out of the Deed of Partnership dated 18.08.2000 pertaining to the partnership firm M/s Sri. Raksha Fragrances; (as per clause 18 of the Agreement produced at Annexure-A)

ii. Grant such other relief/s that this Hon’ble Court deems fit in the interests of justice and equity.

2. The petitioner in CMP No.460/2025 is before this Court seeking for the following reliefs;

i. Appoint Sri J.P.N. Desai (retired Judge, Hon’ble High Court of Karnataka) or any other suitable person as the sole Arbitrator to adjudicate the disputes between the petitioner and the Respondent arising out of the Deed of reconstitution of Partnership dated 17.09.2013 pertaining to the partnership firm M/s Sri. Raksha Biotech; (as per clause 18 of the Agreement produced at Annexure-B)

ii. Grant such other relief/s that this Hon’ble Court deems fit in the interests of justice and equity.

3. The Petitioners and the Respondent had entered into a deed of Partnership which is governed by an Arbitration Clause in terms of Clause 18 thereof, which is reproduced hereunder for easy reference:

18. Disputes, if any, arising out of the interpretation of any of the clause or clauses of this deed, any of matter or matters relating directly or indirectly to the partnership business shall be referred to arbitration and the provision of the Arbitration & Reconciliation Act, 1996 shall apply accordingly.

4. Certain disputes having arisen between the Petitioners and the Respondent, the Petitioners had issued a notice on 22.07.2025 invoking the Arbitration Clause, nominating its Arbitrator and calling upon the Respondent to concur with such appointment.

5. Notice having been delivered on 24.07.2025, a response was issued on 01.08.2025 contending that an application under Section 9 of the Arbitration and Conciliation Act, 1996 (hereinafter referred to as ‘A&C Act’ for short), had been filed before the Hon'ble High Court of Bombay and that the Respondent was not agreeable to the nomination of the Arbitrator as mentioned in the notice of the Petitioners. The Respondent reserved the right to submit a detailed reply to the said notice; however, no detailed reply was submitted. It is in that background that the Petitioners have approached this Court for the appointment of an Arbitrator.

6. Notice having been issued, the Respondent has entered an appearance and filed his statement of objections.

7. The contention of Sri.Pranav Vishwanath, learned counsel for the Respondent, is that:

7.1. The Respondent having filed an application under Section 9 of the A&C Act before the Hon'ble High Court of Bombay, it is only the Hon'ble High Court of Bombay which would have jurisdiction over all subsequent matters arising out of Part I of the A&C Act. In this regard, he refers to Section 42 of the A&C Act, which is reproduced hereunder for easy reference:

42. Jurisdiction.—Notwithstanding anything contained elsewhere in this Part or in any other law for the time being in force, where with respect to an arbitration agreement any application under this Part has been made in a Court, that Court alone shall have jurisdiction over the arbitral proceedings and all subsequent applications arising out of that agreement and the arbitral proceedings shall be made in that Court and in no other Court.

7.2. By referring to Section 42 of the A&C Act, he submits that, in respect of any arbitration agreement, if any application under Part-I has been made in a Court, that Court alone shall have jurisdiction over the arbitral proceedings and all subsequent applications arising out of that agreement, the arbitral proceedings shall be made in that Court and in no other Court.

7.3. He substantiates his submission by contending tha

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