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Bombay High Court

Wellknown Polyesters Ltd vs Tarun Chugh on 10 May, 2024

2024:BHC-OS:7979

                                                                                               22-ARBAP-190-2022.doc




                                  IN THE HIGH COURT OF JUDICATURE AT BOMBAY

                                       ORDINARY ORIGINAL CIVIL JURISDICTION


                                      ARBITRATION APPLICATION NO. 190 OF 2022

                       Wellknown Polysters Ltd.
                       (acting through its authorized officer)
                       Mr.Mahesh Pareek                                                .. Applicant
                                     Versus
                       Tarun Chugh                                                     ...Respondent




                       Mr.Prerak Choudhary, Advocate for Applicant.

                       None for Respondent.




                                        CORAM :            SOMASEKHAR SUNDARESAN, J.
                                        DATE         :     MAY 10, 2024.


                       PC:




1. This application seeks to appoint an Arbitrator in respect of claims relating to a Non-Compete Obligation said to have been owed by the Respondent to the Applicant.

2. After multiple listings, on 2nd April, 2024, another Learned Single Page 1 of 5 May 10, 2024 Shraddha Talekar, PS ::: Uploaded on - 10/05/2024 ::: Downloaded on - 30/05/2024 21:13:48 ::: 22-ARBAP-190-2022.doc Judge of this Court took note of the fact that service has been completed.

Purely by way of indulgence, the matter was listed on 16 th April, 2024. On 16th April, 2024, it appears that the matter was not listed. The matter was stood over to 13th June, 2024, on which date, even in the absence of the Respondent, the Application was to be considered and disposed of.

3. The Learned Counsel for the Applicant fairly states that the arbitration agreement contained in Paragraph 17 of the Non-Compete and Non-Solicitation Agreement dated 20 th November, 2018 had provided for arbitration by the Human Resources Department of the Applicant. Since such a provision is not in consonance with the Arbitration and Conciliation Act, 1996, Learned Counsel fairly states that he would leave it to the Court to appoint the Arbitrator.

4. In the above circumstances, the application in allowed in terms of the following order :

(a) Mr.Nikhil Rajani, an Advocate of this Court, is hereby appointed as the Sole Arbitrator to decide the disputes and differences between the parties arising out of and/or in connection with and/or in relation to the Non-Compete and Non-Solicitation Agreement dated 20th November, 2018. Page 2 of 5

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(b) A copy of this order will be communicated to the Learned Sole Arbitrator by the Advocates for the Applicant within a period of one week from this order becoming available to him.

The contact particulars of the Learned Sole Arbitrator are as follows :

Mr. Nikhil Rajani, Mobile No. 9819866058 Email id : [email protected]
(c) The Learned Sole Arbitrator is requested to forward his Statement of Disclosure under Section 11(8) read with Section 12(1) of the Arbitration Act to the Advocates for the Applicant so as to enable them to file the same in the Registry of this Court. The Registry of this Court shall retain the said Statement on the file of this Application and a copy of the same shall be furnished by the Advocates for the Applicant to the Advocates for the Respondent.
(d) The parties shall appear before the Learned Sole Arbitrator on such date and at such place as he nominates to obtain appropriate directions with regard to fixing a schedule for completing pleadings etc. The Arbitral Tribunal shall give all further directions with reference to the arbitration and also Page 3 of 5 May 10, 2024 Shraddha Talekar, PS ::: Uploaded on - 10/05/2024 ::: Downloaded on - 30/05/2024 21:13:48 ::: 22-ARBAP-190-2022.doc as to how it is to proceed.
(e) Contact and communication particulars shall be provided by all sides to the Learned Sole Arbitration within a period of one week from today. This information shall include a valid and functional email address as well as mobile numbers of the respective Advocates.
(f) The Applicant has agreed that the Sole Arbitrator shall be free to fix his own fees and shall not be bound by the Fourth Schedule of the Arbitration Act or the Bombay High Court (Fee payable to Arbitrators) Rules, 2018.
(g) The parties have agreed that all arbitral costs and fees of the Arbitrator will be borne by the parties equally and will be subject to any final Award that may be passed by the Tribunal.
(h) The parties have agreed that the venue and seat of the arbitration will be in Mumbai. It shall be open to the Learned Sole Arbitrator to conduct the proceedings through online mode.
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5. The above Application is accordingly disposed of.

6. This order will be digitally signed by the Private Secretary/Personal Assistant of this Court. All concerned will act on production by fax or email of a digitally signed copy of this order.

[ SOMASEKHAR SUNDARESAN, J. ] Page 5 of 5 May 10, 2024 Shraddha Talekar, PS ::: Uploaded on - 10/05/2024 ::: Downloaded on - 30/05/2024 21:13:48 :::