IN THE HIGH COURT OF KARNATAKA, AT DHARWAD DATED THIS THE 25^TH DAY OF FEBRUARY, 2026 BEFORE THE HON'BLE SMT. JUSTICE LALITHA KANNEGANTI CIVIL MISC PETITION NO.100027 OF 2024 BETWEEN:

F. SRINIVAS S/O. F. SHANMUKHAPPA, AGE. 51 YEARS, OCC. AGRICULTURIST AND BUSINESS, R/O. #30, WARD NO.3, SIDDIKERI, GANGAVATHI, DIST. KOPPAL-583235.

…PETITIONER (BY SRI. ANOOP G.DESHPANDE, ADVOCATE)

AND:

1. M/S. BASAVESHWAR RICE INDUSTRIES, A REGISTERED PARTNERSHIP FIRM, HAVING REGISTERED OFFICE AT SY.NO.139 RAICHUR ROAD, VIDYA NAGAR, GANGAVATI, DIST. KOPPAL-583235.

2. F. SHANMUKHAPPA S/O. FAKEERAPPA CHALUVADI, AGE. 76 YEARS, OCC. BUSINESS, R/O. #30, WARD NO.3 SIDDIKERE, Digitally signed by GANGAVATI, DIST. KOPPAL-583235.

YASHAVANT NARAYANKAR …RESPONDENTS Location: HIGH COURT (BY SRI. PRANAV BADAGI, ADVOCATE FOR OF KARNATAKA SRI. S.B. HEBBALLI, ADVOCATE FOR R2;

NOTICE TO R1 NOT REQUIRED (V/O/DATED 18.09.2025)

THIS CIVIL MISCELLANEOUS PETITION FILED UNDER SECTION

11(6) OF THE ARBITRATION AND CONCILIATION ACT 1996, PRAYING TO A) TO APPOINT ANY ARBITRATOR TO ADJUDICATE THE DISPUTE THAT HAS ARISEN BETWEEN THE PARTNERS OF THE FIRM, THE PETITIONER AND RESPONDENTS HEREIN PURSUANT TO CLAUSE NO.14 OF PARTNERSHIP DEED DATED 12.04.1994 AT ANNEXURE-A AND TO RESOLVE THE DISPUTE BEFORE THE ARBITRATOR. HENCE IT IS JUST AND PROPER TO ALLOW THIS PETITION IN THE INTEREST OF JUSTICE AND EQUITY. B) TO AWARD COST OF THIS PETITION AND PASS SUCH ORDERS AS THIS HON’BLE COURT DEEMS FIT.

THIS CIVIL MISCELLANEOUS PETITION HAVING BEEN HEARD AND RESERVED ON 07.01.2026, COMING ON FOR PRONOUNCEMENT OF ORDER THIS DAY, THE COURT PRONOUNCED THE FOLLOWING: CORAM: THE HON'BLE SMT. JUSTICE LALITHA KANNEGANTI CAV ORDER The present Civil Miscellaneous Petition is filed to appoint any arbitrator to adjudicate the dispute that has arisen between the partners of the firm, the petitioner and the respondents herein pursuant to clause No.14 of the partnership deed dated

12.04.1994 and to resolve the dispute before the arbitrator. 2. The respondent No.1 is Firm registered under the provisions of the Indian Partnership Act, 1932. The said firm was established by the petitioner and respondent No.2 with mutual agreement for establishment of a Rice Mill in the name and style M/s. Basaveshwar Rice Industries for the purpose of carrying on the business of producing paddy, rice, broken rice and rice bran etc. In the said partnership deed, a specific clause No.14 mentions about the resolving the dispute if arose by way of arbitration. It is the case of the petitioner that pursuant to the partnership deed it was agreed between the parties i.e., petitioner and respondent No.2 that the place of manufacturing would be at Sy.No.139 measuring 2 acres situated at Raichur Road taluk Gangavati District, Koppal. Further, it was agreed on between the parties to the partnership deed that respondent No.1 firm as per clause No.9 shall be in existence only for a period of 20 years or the loan is cleared whichever is earlier and that the capital shall be contributed in equal to the business and if any additional capital was required the same could be availed from the financial institutions. The profit and loss sharing ratio between the parties was agreed at 50% each.

3. It is stated that as per clause No.10, the loan availed till it is extinguished, no portion of firm’s capital or interest accrued on the capital contributed by the partners shall be withdrawn and respondent No.1 firm could not be dissolved. It is stated that the loan availed from the Karnataka State Financial Corporation was repaid as per the terms of partnership deed. The property in which the firm is situated is considered as assets of the firm by virtue of clause No.5 of the partnership deed. It is the case of the petitioner that the petitioner is entitled for 50% share in the assets of the firm. It is the case that the firm’s liabilities are in existence and the firm is not dissolved and the respondent No.2 has utilized the assets of the firm and is trying to