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Delhi High Court - Orders

M/S Balmer Lawrie And Co. Ltd vs Instruments Research And Development ... on 13 February, 2024

Author: Prateek Jalan

Bench: Prateek Jalan

                                          $~17
                                          *    IN THE HIGH COURT OF DELHI AT NEW DELHI

                                          +           O.M.P. (T) (COMM.) 104/2023 & I.A. 22099/2023

                                                      M/S BALMER LAWRIE AND CO. LTD.           ..... Petitioner
                                                                   Through: Mr. M.K. Ghosh, Ms. Tina Garg,
                                                                            Ms. Naiyar Mateen, Advocates
                                                                            with Mr. Ajaye Singh, AR of the
                                                                            Company.

                                                                                                        versus

                                                      INSTRUMENTS RESEARCH AND DEVELOPMENT
                                                      ESTABLISHMENT & ANR.                  ..... Respondents
                                                                   Through: Mr. Farman Ali, SPC and Ms.
                                                                            Vidhi Gupta, GP with Ms. Usha
                                                                            Jamnal & Mr. Krishan Kumar,
                                                                            Advocates.

                                          CORAM:
                                          HON'BLE MR. JUSTICE PRATEEK JALAN

                                                                                         ORDER

% 13.02.2024

1. By way of this petition under Section 14 of the Arbitration and Conciliation Act, 1996 ["the Act"], the petitioner seeks termination of the mandate of an arbitrator who is seisen of disputes between the parties under a Supply Order dated 01.03.2016.

2. The Supply Order contains an arbitration clause [Clause 14] which provides for resolution of disputes by arbitration of the nominated officer of the Defence Research and Development Organisation. The disputes between the parties were referred to arbitration under this clause.

O.M.P. (T) (COMM.) 104/2023 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 14/02/2024 at 22:38:45 However, the petitioner filed an application for termination of the arbitration proceedings, stating that the petitioner is a public sector undertaking of the Central Government and the respondents are also departmental agencies of the Central Government. The petitioner contended that, in such circumstances, disputes are to be resolved under the Administrative Mechanism of Resolution of CPSEs Disputes ["AMRCD"] notified by an Office Memorandum of the Union of India dated 14.12.2022 [Annexure P-7 to the petition]. It was also contended that the arbitrator was a serving officer of the respondent and therefore disqualified in terms of Section 12 of the Act.

3. The present petition has been filed on the same grounds.

4. Mr. Farman Ali, learned counsel for the respondents, submits upon instruction that respondents are agreeable to resolution of the disputes under AMRCD in terms of Office Memorandum dated 14.12.2022. He therefore joins the petitioner's prayer for termination of the mandate of the arbitrator.

5. In view of the agreement between the parties, the mandate of the arbitrator is terminated and the parties are free to take steps in terms of Office Memorandum dated 14.12.2022.

6. The petition, alongwith pending application, stands disposed of in these terms.

PRATEEK JALAN, J FEBRUARY 13, 2024 'pv'/ O.M.P. (T) (COMM.) 104/2023 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 14/02/2024 at 22:38:45