Delhi High Court - Orders
M/S Raj Buildwell Pvt. Ltd vs M/S Jmd Ltd on 15 September, 2023
Author: Rekha Palli
Bench: Rekha Palli
$~17
* IN THE HIGH COURT OF DELHI AT NEW DELHI
+ O.M.P. (COMM) 298/2023
M/S RAJ BUILDWELL PVT. LTD. ..... Petitioner
Through: Mr. Viksit Arora, Adv.
versus
M/S JMD LTD. ..... Respondent
Through: Mr. Arjun Sawhney, Mr. Rohan
Bhambri, Ms. Ayushi Kumar, Advs. with Mr.
Karan Bedi, AR.
CORAM:
HON'BLE MS. JUSTICE REKHA PALLI
ORDER
% 15.09.2023 I.A. 14744/2023 -Ex. & I.A. 14745/2023 -LLOD.
1. Exemptions allowed subject to all just exceptions.
2. The applications stand disposed of.
CAV 405/20233. Since learned counsel for the respondent enters appearance, the caveat stands discharged.
I.A. 14746/2023 -Delay 1 day.
4. This is an application filed by the petitioner seeking condonation of 1 days' delay in filing the petition.
5. The application is, for the reasons stated therein, allowed and the delay of 1 day in filing the petition stands condoned.
6. The application stands disposed of.
This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 18/09/2023 at 21:41:12 O.M.P. (COMM) 298/2023
7. The present petition under Section 34 of the Arbitration and Conciliation Act (hereinafter referred to as "the Act) seeks to assail the arbitral award dated 03.04.2023 passed by the learned sole arbitrator.
8. One of the primary submissions of the learned counsel for the petitioner is that the arbitral award is patently illegal as the learned arbitrator, despite coming to a categoric conclusion that the respondent had prevented the petitioner from constructing the flats in collaboration with Godrej Properties Ltd., has still proceeded to award a huge amount towards damages in favour of the respondent. Furthermore the amount awarded by way of damages is way beyond what was claimed by the respondent and that too without any evidence being led to prove the damages.
9. Issue notice. Learned counsel for the respondent accepts notice. He prays for and is granted eight weeks' time to file a reply. Rejoinder thereto, if any, be filed within four weeks thereafter.
10. A requisition be sent to the learned Arbitrator with a request to forward the arbitral record to this Court.
11.List on 19.01.2024.
I.A. 14743/2023 -Stay.
12.This is an application filed by the petitioner seeking stay of the impugned award.
13.Learned counsel for the petitioner submits that by way of an order passed under Section 17 of the Act, the learned arbitrator had directed the petitioner to reserve 20 flats admeasuring about 178 square yards This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 18/09/2023 at 21:41:12 each, with the market value of each plot being about Rs. 2 crores which order is continuing on date having been extended pursuant to an order passed in petition under Section 9 filed by the respondent. He, therefore, prays that the impugned award be stayed without directing the petitioner to make any deposit.
14.On the other hand, learned counsel for the respondent vehemently disputes that the order directing the petitioner to reserve the plots would not be sufficient to safeguard the respondent's interest qua the awarded amount. He submits that it is very doubtful as to whether the said plots are unencumbered and would therefore fetch Rs. 2 crores each as is sought to be contended by the petitioner. He therefore contends that now that the damages awarded under the award stands crystallized, the petitioner ought to be directed to deposit the entire awarded amount before this Court as a condition for stay.
15.Having considered the submissions of learned counsel for the parties, I am of the view that taking into account the admitted position that the amount awarded towards damages to the respondent was much more than what was claimed by it, the operation of the impugned award deserves to be stayed, subject to petitioner depositing 50% of the awarded amount with this Court. The petitioner ought to however be simultaneously granted liberty to deal with the plots which were reserved for the respondent in the manner, it deems fit.
16.At this stage, learned counsel for the respondent fairly submits that in case the petitioner were to deposit 50% of the awarded amount with this Court, he has no objection to the impugned award being stayed during the pendency of the present petition.
This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 18/09/2023 at 21:41:12
17. In the light of the aforesaid stand taken by the respondent, the application is, accordingly, disposed of by directing that subject to the petitioner depositing, with the Registrar General of this Court, 50% of the awarded amount with up to date interest within three months from today, the operation of the impugned award will remain stayed during the pendency of the present petition.
18.The application stands disposed of.
REKHA PALLI, J SEPTEMBER 15, 2023 al This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 18/09/2023 at 21:41:13