IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED : 19.03.2025 CORAM THE HON'BLE MR. JUSTICE ABDUL QUDDHOSE Arb.O.P.(Com. Div.) No.575 of 2024 M/s.Saravana Traders Rep. by its Proprietor Mr.K. Kalimuthu, Door No.5/128, Paraivalasu, Kappalpatti Post, Dindigul - 624 614. ... Petitioner Vs.

1. M/s.Redleaf Herbals (P) Ltd., Rep. by its Managing Director Mr.Thiyagarajan Door No.523/3, Bushido Towers, Udayampalayam Road, Nava India, Coimbatore - 641 018. 2. M/s. Vinayaga Agro, Rep. by its Proprietor Ms.Maheswari, Door No.523/3, Bushido Towers, Udayampalayam Road, Nava India, Coimbatore - 641 018. ... Respondents PRAYER: Petition filed under Section 11 of the Arbitration and Conciliation Act, 1996 to appoint a sole arbitrator to adjudicate the dispute between the petitioner and the respondents as vide clause 13 of the Memorandum of Understanding dated 03.03.2017 and to direct the respondents to pay the cost.

For Petitioner : Mr.N.C. Ramesh, Senior Advocate for Mr. J. Hariharan For Respondents : Ms. S. Yogalakshmi

ORDER

This petition has been filed under Section 11 of the Arbitration and Conciliation Act, seeking for appointment of an Arbitrator by this Court.

2. The petitioner had supplied materials to the respondents through various purchase orders. The first respondent is a private limited company, represented by its Managing Director, Mr.Thiyagarajan. The second respondent is a proprietrix concern, represented by its proprietrix Ms.Maheswari. It is an admitted fact that the proprietrix of M/s.Vinayaga Agro / the second respondent is the wife of Mr.Thiyagarajan, Managing Director of the first respondent Company. Ms.Maheswari is also one of the Directors of the first respondent Company.

3. According to the petitioner, both the respondents are having regular transactions with the petitioner and they have been purchasing the materials from the petitioner. There seems to be a dispute between the parties, with regard to non payment of dues in respect of the materials supplied by the petitioner to the respondents. A Memorandum of Understanding dated 03.03.2017 was entered into between the petitioner and the first respondent Company, represented by its Managing Director. Under the said Memorandum of Understanding dated 03.03.2017, certain sums of money have been agreed to be paid to the petitioner by the respondents for the materials supplied by the petitioner. Invoices have also been raised by the petitioner on the respondents for the materials supplied to both the respondents.

4. According to the petitioner, since the second respondent is also carrying on business in the very same premises of the first respondent Company and the materials received by the second respondent from the petitioner are also similar materials, both the respondents are bound by the terms and conditions of the Memorandum of Understanding dated 03.03.2017. According to the petitioner, certain sums of money are due and payable by both the respondents to them in respect of the supplies made by them to the respondents.

5. The Memorandum of Understanding dated 03.03.2017 entered into between the petitioner and the first respondent contains an arbitration clause and the same is extracted hereunder: ,U ghu;l;oahUf;fpilapy; ,e;j xg;ge;jk; rkg;e;jkhf VnjDk;

" 13.

fUj;J ntWghL Vw;gLk; gl;rj;jpnyh my;yJ ghhpg;g[ Vw;gLk; gl;rj;jpnyh nfhit tzpfk; kwW; k; bjhHpy; rhu;e;j PHP Chamber Arbitrator xUtUf;F rkh;g;gpf;f ntz;Lk;/ mtt; hW epakpf;fg;gLk;

Arbitrator mth;fspd; Kont ,WjpahdJ/ mth; Mh;gpl;nurd; kwW; k; fhd;rpypnard; Vf;l; 1996 rll;j;jpd;go gpur;rpidia jPh;j;J itgg;hh;/ Mh;gpl;nurd; nfhitapy; eilbgWk;/ M';fpy bkhHpapnyna eilbgWk/; ,e;j xg;ge;jk; rk;ge;jkhf Vw;gLk; tHf;Ffs; nfhitapYs;s ePjpkdw;';fspnyna eilbgWk;

"

6. The petitioner has invoked arbitration in accordance with the arbitration clause by issuing notice to both the respondents on 03.05.2024 to comply with the requirements of Section 21 of the Arbitration and Conciliation Act, 1996. A reply dated 29.05.2024 was received by the pe