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ARB-766 of 2025 IN THE HIGH COURT OF PUNJAB & HARYANA

AT CHANDIGARH ARB-766 of 2025

Date of decision: 27.03.2026

AHLUWALIA CONTRACTS INDIA LIMITED ….Petitioner

Versus ADVANCE INDIA PROJECTS LIMITED

….Respondent

CORAM: HON'BLE MR. JUSTICE SHEEL NAGU, CHIEF JUSTICE Present: Mr. Shekhar Verma, Advocate (Arguing Counsel)

Mr. Mritunjay Kr. Singh, Advocate and Mr. Rahul Chadha, Advocate for the applicants.

Mr. Sandeep Verma, Advocate for the respondent (through V.C.)

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SHEEL NAGU, CHIEF JUSTICE (Oral)

1. Instant application u/s 11 (6) of Arbitration and Conciliation Act,

1996 (for short, ‘1996 Act’), seeks appointment of Arbitrator/Arbitrators.

2. No reply filed on behalf of the respondent.

3. The rival parties herein entered into agreement dated 09.07.2018 (executed on 28.07.2018) (Annexure A-1) containing an arbitration clause as

follows :

“25. Resolution of disputes

All unresolved dispute(s) in respect of any decision of the Project manager shall be referred to and resolved by sole arbitration. Such arbitrations shall be conducted in accordance with the Arbitration and Conciliation Act, 1996 and shall be acceptable to both the

parties. The venue of arbitration shall be New Delhi.

Special Conditions of Contract

31 RESOLUTION OF DISPUTES:

31.1 Negotiation and Conciliation

The Parties shall use their respective reasonable endeavors to KAMAL GANDHI

2026.04.02 16:58 I attest to the accuracy and settle any dispute, difference claim, question or controversy integrity of this document

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ARB-766 of 2025 between the Parties arising out of, in connection with or in relation to this Agreement ("Dispute") amicably between them through

negotiation.

31.2 Reference to Arbitrator

Any Dispute which the Parties are unable to resolve pursuant to Clause 31.1 within sixty (60) days (or such longer period as the Parties may agree) of the written notification by one Party to the other of the existence of a Dispute shall be finally determined by arbitration in accordance with the Indian Arbitration and Conciliation Act, 1996 by the sole arbitrator who shall be either

the Managing Director of OWNER or his nominee.

31.3 Miscellaneous

The venue of arbitration shall be Delhi. Each Party shall pay the expenses of the arbitration in accordance with the Rules and the eventual liability for the costs shall be in terms of the arbitral award. No arbitrator shall be the present or former employee or agent of, or consultant or counsel to either Party or in any way related or closely connected with the Parties. The language of the

arbitration shall be English.

31.4 Decision / Award

Any decision or award of an arbitral tribunal appointed pursuant to this Clause 31.2 shall be final and binding upon the Parties. The Parties agree that any arbitration award made may be enforced by the Parties against assets of commensurate value of the relevant Party, wherever those assets are located or may be found, and judgment upon any arbitration award (wherever necessary) may be entered by any court of competent jurisdiction thereof. The Parties expressly submit to the jurisdiction of any such court for the

purposes of enforcement of any arbitration award.

31.5 Continuation of performance

Pending final resolution of any Dispute, the Parties shall continue to perform their respective obligations hereunder.

KAMAL GANDHI

2026.04.02 16:58 I attest to the accuracy and integrity of this document

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ARB-766 of 2025

31.6 Survival

It is expressly stated herein that the provisions of this Clause 33 shall survive termination or expiry of this Contract.”

3.1 Dispute erupted between the parties. The applicant served notice dated 02.06.2025 (Annexure A-3) under Section 21 of the 1996 Act upon respondent and invoked Arbitration Clause No. 31 mentioned in the Special Conditions of Contract. In response, vide letter dated 12.06.2025 received through email dated 24.06.2025 (Annexure A-4), respondent raised its own counter claims. Thereafter, the Applicant issued a further response dated 16.07.2025 (Annexure