Karnataka High Court
Sri Jagadeesha S Neeralagi vs Sri Ranganath Shetty on 25 September, 2020
Author: S.Sunil Dutt Yadav
Bench: S. Sunil Dutt Yadav
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IN THE HIGH COURT OF KARNATAKA AT BENGALURU
DATED THIS THE 25TH DAY OF SEPTEMBER 2020
BEFORE
THE HON'BLE MR.JUSTICE S. SUNIL DUTT YADAV
CIVIL MISCELLANEOUS PETITION No.71/2019
Between:
Sri Jagadeesha S. Neeralagi,
S/o Siddanna Neeralagi,
Aged about 25 years,
Residing at Shanthinagar, 2nd Stage,
80 Badagubettu Village,
Manipal Post,
Udupi - 576 104. ... Petitioner
(By Ms. Sahana, Advocate for
Sri Ajith A Shetty, Advocate)
And:
Sri Ranganath Shetty,
S/o Late Bhoja Shetty,
Aged about 48 years,
Residing near Shivashakthi,
Kilpadi, Bandasale, Mulik
Dakshina Kannada District - 574 154. ... Respondent
(Respondent Served and Unrepresented)
This Civil Miscellaneous Petition is filed under Section
11(5) of the Arbitration and Conciliation Act, 1996, praying
to (i) Appoint Shri Bhaskara, a legal practitioner at Udupi, as
sole arbitrator and direct the parties herein to subject
themselves to an arbitration proceedings and settle inter-se
disputes between themselves; (ii) In the alternative, appoint
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an individual as arbitrator, who in the opinion of this
Hon'ble Court would be equipped to adjudicate the dispute/s
between the parties herein by arbitration and as per
agreement for Lease-Cum-Sale dated 02.02.2016 vide
Annexure-A; (iii) Grant such other relief or reliefs as this
Hon'ble Court deems it fit to grant in the facts and
circumstances of this case, in the interest of justice, fairplay
and equity to do so.
This Civil Miscellaneous Petition coming on for
admission, this day, the Court made the following:
ORDER
The petitioner is stated to have entered into an 'Agreement for Lease-cum-Sale' on 02.02.2016 with respect to land bearing Sy.No.59/1B of Karnad Village, Mulki Hobli, Mangalore Taluk, Dakshina Kannada District.
2. It is submitted that in the event if petitioner was not able to secure the distributorship from Hindustan Petroleum Corporation Limited, the agreement would stand cancelled.
3. It is further submitted that in terms of the agreement, the respondent was required to secure the 3 building license. It is also submitted that the period prescribed in the agreement at Annexure-'A' was extended as per the letter dated 13.06.2016. It is stated that the petitioner was unsuccessful in securing the distributorship agreement and had sought for extension of time, but however the respondent had threatened to cancel the agreement and retain a sum of Rs.4,00,000/- out of the advance amount of Rs.6,00,000/-.
4. It is submitted that the petitioner got issued the notice at Annexure-'C' to the respondent herein to the address as mentioned in the agreement, copy of which is produced at Annexure-'A' and the copy of postal receipt is enclosed. It is submitted that despite legal notice wherein the dispute has been detailed, the respondent has not come forward with efforts to settle the dispute as per the terms of the agreement.
5. It is further submitted that the petitioner had sought to invoke the arbitration clause and has 4 proposed the name of an Arbitrator, to which the respondent has not responded to. Accordingly, the present petition has been filed.
6. There is no representation on behalf of the respondent despite service of notice.
7. Taking note of the agreement at Annexure-'A' and also noticing the contents of the legal notice at Annexure-'C' and noticing that the assertion of the petitioner remains unrebutted, it is clear that a dispute does exist and a case is made out for invocation of Clause 7 of the 'Agreement for Lease-cum-Sale' seeking arbitration. Hence, a case is made out for invoking the provisions of Section 11 of the Arbitration and Conciliation Act, 1996 ('the Act' for short) for appointment of an Arbitrator.
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8. Learned counsel appearing for petitioner submits that Sri K.Shrinivas Hegde, Advocate, may be appointed as an Arbitrator.
9. Accordingly, Sri K.Shrinivas Hegde, Advocate, residing at 1st Floor, "Ashachandra Trade Center", P.P.C., 1st Cross Road, Udupi - 576101 is appointed as an Arbitrator to enter upon the reference and dispose of the matter.
10. Office to issue notice to the Arbitrator regarding the appointment made herein.
11. Learned counsel for the petitioner is permitted to take back the agreement of sale filed at Annexure-A after furnishing a photocopy of the same for record purpose.
Sd/-
JUDGE Np/-
ct:mhp