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Delhi High Court - Orders

M/S Axalta Coating Systems India ... vs M/S Morani Cars Private Limited And Ors on 12 January, 2023

Author: Yashwant Varma

Bench: Yashwant Varma

                    $~5
                    *     IN THE HIGH COURT OF DELHI AT NEW DELHI
                    +     ARB.P. 1044/2022
                          M/S AXALTA COATING SYSTEMS INDIA PRIVATE
                          LIMITED                             ..... Petitioner
                                       Through: Ms. Mili Verma, Adv.

                                                versus

                          M/S MORANI CARS PRIVATE LIMITED AND ORS.
                                                            ..... Respondents
                                       Through: None.

                          CORAM:
                          HON'BLE MR. JUSTICE YASHWANT VARMA
                                                ORDER

% 12.01.2023

1. The record as well as the affidavit of service would reflect that the respondents have refused to accept notice. According to the averments made in the affidavit of service, the respondents are also stated to have refused to accept notice dasti.

2. The arbitration agreement stands comprised in clause 12.3 to the Supply Agreement and the same is extracted hereinbelow: -

"12.3 All disputes or differences whatsoever arising between the parties out of or relating to the construction , meaning and operation or effect of this Agreement or the breach thereof shall be settled amicably. If, however, the Parties are not able to resolve them amicably within a period of thirty days or any longer period as agreed upon by the Parties from the date of commencement of such negotiation the same would be resolved by arbitration. The dispute may be referred to the arbitration by either Party after issuance of thirty days notice in writing to other, clearly mentioning the nature of the dispute/differences. Such arbitration shall be conducted by a Sole Arbitrator to be appointed by Parties hereto by mutual consent. The Arbitration and Conciliation Act, 1996 or any statutory modification thereof shall apply to the arbitration proceedings and the venue for the arbitration proceedings shall be New Delhi (India). All the arbitration proceeding shall be carried out in English language."

3. The Court notes that the petitioner had invoked arbitration in Signature Not Verified terms its notice of 25 February 2022. The respondents, while replying Digitally Signed By:NEHA Signing Date:17.01.2023 18:13:44 to the aforesaid legal notice, have taken various pleas touching upon the merits of the dispute which arises. However, the existence of the arbitration clause is not denied.

4. Since the parties have failed to concur on the name of a particular Arbitrator, the Court hereby invokes its powers conferred by Section 11 of the Arbitration and Conciliation Act, 1996 and appoints Mr. Sameer Vashisht [Official Address: Chamber No.146, Lawyers' Chambers, Delhi High Court, New Delhi-110503] [Mobile No. 9818280821] [email: [email protected]] to assume upon the reference and act as the sole arbitrator for resolution of the disputes which have arisen.

5. The parties are directed to appear before the learned arbitrator, as and when notified. This is subject to the learned arbitrator making the necessary disclosure under Section 12(1) of the Act and not being ineligible under Section 12(5) of the Act.

6. The fees of the arbitrator shall be decided according to the Fourth Schedule of the Act.

7. The date of 25.01.2023 shall stand cancelled.

YASHWANT VARMA, J.

JANUARY 12, 2023 bh Signature Not Verified Digitally Signed By:NEHA Signing Date:17.01.2023 18:13:44