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[Cites 4, Cited by 0]

Chattisgarh High Court

Ashish Agrawal vs Food Corporation Of India on 22 January, 2025

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                                                                              2025:CGHC:3869
                                                                                                NAFR
Digitally
signed by
AJAY KUMAR
DWIVEDI
Date:
                          HIGH COURT OF CHHATTISGARH AT BILASPUR
2025.01.23
10:23:28
+0530
                                                 CR No. 120 of 2023

             Ashish Agrawal S/o Shri Dilip Agrawal Aged About 33 Years Proprietor M/s Ashish Group
             Of Industries, Bazarpara, Nevra, Tahsil Tilda, District : Raipur, Chhattisgarh
                                                                                          ... Petitioner(s)


                                                         versus


             Food Corporation Of India A Body Constituted Under The Food Corporation Act, 1964 (An
             Undertaking Of Govt. Of India), Through Area Manager, District Office- Food Corporation
             Of India, Vidhan Sabha Road, Kanpa, District : Raipur, Chhattisgarh
                                                                                        ... Respondent(s)

For Petitioner(s) : Mr. Sourabh Sharma, Advocate. For Respondent(s) : Mr. R. S. Patel, Advocate.

SB : Hon'ble Shri Justice Deepak Kumar Tiwari Order on Board 22/01/2025

1. This civil revision is filed under Section 115 of the Code of Civil Procedure against the order dated 21.07.2023 passed by the Seventh Additional District Judge, Raipur (CG) in Civil Suit No.20-B/2018, whereby, the application filed by the applicant/defendant under Order 7 Rule 11 r/w Section 151 of CPC has been rejected.

2. At the outset, learned counsel for the applicant would submit that in Part A of Technical Bid, there contains a clause being Clause XVIII relating 2 to laws governing the contract and dispute resolution. For the sake of brevity, Clause XVIII is reproduced below :

"XVIII -Laws Governing The Contract & Dispute Resolution :-
(a) The contract will be governed by the laws of India for the time being in force.
(b)In case of any dispute arising out of and touching upon the contract, the same will be first referred to the Dispute/Grievance Redressal Committee constituted and functioning at the Zonal Office of the Corporation, with a view to settle the disputes. If any disputes remain thereafter, the same will be settled in the Court of Law having competent jurisdiction."

3. Learned counsel would further submit that a similar issue came up before this Court in CR No.47/2023 (Kailash Agrawal Vs. Food Corporation of India), wherein, vide order dated 15.01.2024, this Court in view of the Laws Governing the Contract and Dispute Resolution, directed the trial Court to refer the matter to the Grievance Redressal Committee at the Zonal Office of the Corporation.

4. In view of the availability of such remedy, learned counsel for the applicant is inclined to avail the same by filing suitable application under Section 8 of the Arbitration and Conciliation Act 1996. Therefore, he prays that this petition may be disposed of reserving the said liberty with a direction to the trial Court to consider such application in accordance with law.

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5. Apart form the aforesaid, learned counsel also submits that by way of an application Order 7 Rule 11, the applicant has raised an objection that the suit is time barred and there is no concluded contract between the parties.

6. Learned counsel further submits that both the issues are mixed question of law and facts, therefore, the said issues may be considered by the trial Court after collecting evidence. He prays for a suitable direction in this regard also.

7. Learned counsel for the respondent does not oppose the aforesaid prayer.

8. Having regard to the aforesaid submission and on perusal of the order impugned and considering the objections raised by the applicant that the suit is time barred and there is no concluded contract between the parties, this Court is of the view that both the issues are mixed question of law and facts and at this juncture, only plaint averments are required to be seen. Moreover, a defence has also been raised that before accepting the tender, a revocation letter was furnished before the Authority.

9. In such circumstances, it is observed that the trial Court may decide both the issues after collecting evidence.

10.Further, considering the prayer made by counsel for the applicant, it is directed that if the applicant moves appropriate application for availing the remedy as per Section 8 of the Act 1996, the concerned trial Court shall decide the same in accordance with law.

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11.With the aforesaid observation and direction, this petition is disposed of.

12. Let a copy of the order Court be sent to the trial Court for necessary information and compliance.

Sd/-

(Deepak Kumar Tiwari) Judge Ajay