Delhi High Court - Orders
A.K. Builders vs Delhi Development Authority on 1 May, 2024
Author: Prateek Jalan
Bench: Prateek Jalan
$~4
* IN THE HIGH COURT OF DELHI AT NEW DELHI
+ ARB.P. 485/2024
A.K. BUILDERS ..... Petitioner
Through: Ms. Kanika Singh & Mr. Shubham
Jaiswal, Advocates.
versus
DELHI DEVELOPMENT AUTHORITY ..... Respondent
Through: Ms. Sapna Chauhan, Advocate.
[M:-7840020100]
CORAM:
HON'BLE MR. JUSTICE PRATEEK JALAN
ORDER
% 01.05.2024
1. By way of this petition under Section 11 of the Arbitration and Conciliation Act, 1996 ["the Act"], the petitioner seeks appointment of an arbitrator to adjudicate disputes between the parties under an agreement dated 09.10.2017 ["the Agreement"]. The Agreement contains an arbitration clause [Clause 25] which provides for adjudication of disputes by a sole arbitrator appointed by the Engineer-Member of the respondent. Delhi has been designated as the venue of the arbitration.
2. Disputes having arisen between the parties, the petitioner invoked the arbitration clause by a communication dated 27.02.2024, which did not elicit a response.
3. The appointment of an arbitrator by the respondent is impermissible in terms of judgments of the Supreme Court in TRF Limited vs. Energo Engineering Projects Limited [(2017) 8 SCC 377] and ARB.P. 485/2024 Page 1 of 2 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 02/05/2024 at 22:47:18 Perkins Eastman Architects DPC vs. HSCC (India) Limited [(2020) 20 SCC 760]. Ms. Kanika Singh, learned counsel for the petitioner, therefore, seeks appointment of an independent arbitrator.
4. The matter was passed over at the first instance to enable Ms. Sapna Chauhan, learned counsel for the respondent, to take instructions. On second call, she submits that the parties may be referred to arbitration, leaving all rights and contentions of the respondent open for adjudication before the learned arbitrator.
5. Having regard to the above and with the consent of learned counsel for the parties, the disputes between the parties are referred to arbitration under the aegis of Delhi International Arbitration Centre, Delhi High Court, Shershah Road, New Delhi-110503 ["DIAC"]. DIAC is requested to nominate an arbitrator with an Engineering background, in view of the arbitration clause in the contract.
6. The arbitration proceedings will be governed by the Rules of DIAC, including as to remuneration of the learned Arbitrator.
7. The learned Arbitrator is requested to furnish a declaration under Section 12 of the Act, prior to entering upon the reference.
8. It is made clear that all rights and contentions of the parties on maintainability of the claims and on merits are left open for adjudication by the learned Arbitrator.
9. The petition is disposed of in these terms.
PRATEEK JALAN, J MAY 1, 2024 'pv'/ ARB.P. 485/2024 Page 2 of 2 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 02/05/2024 at 22:47:18