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[Cites 3, Cited by 0]

Madras High Court

Dodla Amit Reddy vs M/S.Urban Habits Meta on 22 July, 2025

Author: Abdul Quddhose

Bench: Abdul Quddhose

                                                  Arb.O.P (Com.Div.) No.569 of 2024 and Arb.Appln. No.720 of 2024

                                  IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                                   DATED: 22.07.2025

                                                            CORAM

                                  THE HON'BLE Mr. JUSTICE ABDUL QUDDHOSE

                           Arb.O.P (Com.Div.) No.569 of 2024 and Arb.Appln. No.720 of 2024


                     Dodla Amit Reddy                                                   ... Petitioner

                                                         Versus

                     1.M/s.Urban Habits Meta

                     2.Kandalam Thyagarajan Praveen

                     3.Javed Ahmad

                     4.Mohammad Tausif                                                  ... Respondents

                     Prayer: Arbitration Original Petition (Commercial Division) filed under
                     Section 11(6) of the Arbitration and Conciliation Act, 1996 to confirm the
                     appointment of Mrs.Pushya Sitaraman, Senior Advocate, as the Sole
                     Arbitrator to arbitrate on all disputes between the parties arising out of the
                     Partnership Deeds dated 01.04.2022 and 29.08.2022 or in the alternative to
                     appoint a Sole Arbitrator, in terms of Clause 22(v) of the Partnership Deeds
                     dated 01.04.2022 and 29.08.2022 to arbitrate on all disputes between the
                     parties arising out of the Partnership Deeds dated 01.04.2022 and


                     1/6




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                                                         Arb.O.P (Com.Div.) No.569 of 2024 and Arb.Appln. No.720 of 2024

                     29.08.2022 and to direct the respondents to pay costs of this petition to the
                     petitioner.


                                        For Petitioner         : Mr.Manoj Menon

                                        For R2                 : Mr.Arun C.Mohan

                                                                  ORDER

The respondents 1, 3 and 4 have already been set exparte by this Court.

2.Learned counsel appearing for the second respondent has stated no objection for allowing this petition. He would submit that Mr.V.K.Jhaver is a necessary party for the effective adjudication of the arbitral claim to be made by the petitioner. He would also submit that the second respondent has already initiated arbitration by issuing notice to all the necessary parties including Mr.V.K.Jhaver under Section 21 of the Arbitration and Conciliation Act, 1996.

3.No prejudice will be caused to the petitioner if the second respondent is allowed to raise all objections before the Arbitral Tribunal, 2/6 https://www.mhc.tn.gov.in/judis ( Uploaded on: 23/07/2025 08:21:40 pm ) Arb.O.P (Com.Div.) No.569 of 2024 and Arb.Appln. No.720 of 2024 once the Arbitral Tribunal is constituted by this Court including the objection that Mr.V.K.Jhaver is a necessary party for the effective adjudication of the arbitral claim to be made by the petitioner against the respondents.

4.Admittedly, the contract, which is the subject matter of the dispute, namely, the Partnership Agreement dated 01.04.2022 contains an arbitration clause. The same is re-produced hereunder:

'(v)All disputes between the parties or between the partners arising out of the partnership firm agreement which cannot be resolved in terms of this agreement shall be referred for arbitration as per the provisions of the Arbitration and Conciliation Act, 1996 (26 of 1996).'

5.The petitioner has also complied with the requirements of Section 21 of the Arbitration and Conciliation Act,1996 by issuing notice to the respondents on 03.10.2024. A reply has also been sent by the second respondent on 04.11.2024 to the same. Since the second respondent has consented for the appointment of an Arbitrator and since the respondents 1, 3/6 https://www.mhc.tn.gov.in/judis ( Uploaded on: 23/07/2025 08:21:40 pm ) Arb.O.P (Com.Div.) No.569 of 2024 and Arb.Appln. No.720 of 2024 3 and 4 have already been set exparte by this Court, this Court has to necessarily appoint an Arbitrator as prayed for in this petition by granting liberty to the petitioner to raise objections with regard to the non- impleadment of any party to the arbitral claim by the petitioner.

6.For the foregoing reasons, this Arbitration Original Petition is allowed by issuing the following directions:

(a)This Court appoints Hon'ble Mrs.Justice Chitra Venkataraman, Former Judge of this Court, having Office at Old No.17-B, New No.31, IV Main Road, Raja Annamalaipuram, Chennai - 600 028 (Mobile No.98409 90000) as the Sole Arbitrator to adjudicate the dispute between the petitioner and the respondents, arising out of the Partnership Agreement and Amendment to the Partnership Agreement dated 01.04.2022 and 29.08.2022 respectively, on merits and in accordance with law;
(b)The Arbitrator shall be paid her remuneration/fees in accordance with the 4th Schedule of the Arbitration and Conciliation Act, 1996;
(c)Both the parties shall equally share the Arbitrator's fees; 4/6

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(d)The Arbitrator shall conduct the arbitration in accordance with the provisions of the Arbitration and Conciliation Act, 1996 and shall complete the arbitration within the specified time as prescribed under the said Act. No costs.

22.07.2025 vga 5/6 https://www.mhc.tn.gov.in/judis ( Uploaded on: 23/07/2025 08:21:40 pm ) Arb.O.P (Com.Div.) No.569 of 2024 and Arb.Appln. No.720 of 2024 ABDUL QUDDHOSE, J.

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