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Delhi High Court - Orders

Formost Granite Exports Pvt Ltd vs Jubilant Foodworks Limited on 20 December, 2024

Author: Subramonium Prasad

Bench: Subramonium Prasad

                                    $~22
                                    *           IN THE HIGH COURT OF DELHI AT NEW DELHI
                                    +           ARB.P. 2092/2024
                                                FORMOST GRANITE EXPORTS PVT LTD                                                   .....Petitioner
                                                                                      Through:                 Mr. Vivek Malik, Ms Vandana
                                                                                                               Sehgal, Mr. Mohit yadav and Mr.
                                                                                                               Arun Pratap Singh Rajawat, Advs.

                                                                                      versus

                                                JUBILANT FOODWORKS LIMITED             .....Respondent
                                                             Through: Mr. Rishi Awasthi and Mr. Avinash
                                                                      Ankit, Advocates

                                                CORAM:
                                                HON'BLE MR. JUSTICE SUBRAMONIUM PRASAD
                                                          ORDER

% 20.12.2024 I.A. 49079/2024 (Exemption) Allowed, subject to all just exceptions.

ARB.P. 2092/2024

1. The present petition has been filed under Section 11(6) of the Arbitration and Conciliation Act, 1996 by the Petitioner seeking appointment of an Arbitrator to adjudicate upon the disputes which have arisen between the parties under a Lease Agreement dated 25.06.2008 entered into between the parties.

2. It is stated by the learned Counsel for the Petitioner that after termination of the Lease Agreement, the Respondent has vacated the premises but a lot of damage has been caused to the premises.

3. Material on record indicates that a notice invoking arbitration under ARB.P. 2092/2024 Page 1 of 3 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 26/12/2024 at 21:27:53 Section 21 of the Arbitration and Conciliation Act, 1996 was sent by the Petitioner to the Respondent on 04.10.2024 which has also been replied to by the Respondent rejecting the name of the person nominated as Arbitrator by the Petitioner.

4. Clause 9 of the Lease Agreement dated 25.06.2008, which is an arbitration clause, reads as under:

"9. DISPUTE RESOLUTION:-
(i) The parties agree to make good all breaches of the terms and conditions of this Lease Deed on either of them (affected party) giving notice, in writing, of such breach to other party and the other party shall remedy such breach(es) within four weeks of the receipt of such notice and the parties shall make their best endeavor to solve all possible disputes, controversies, and such breaches and / or claims arising out therefrom or in connection with this Deed amicably by way of negotiations with a view of a fair treatment by both parties towards one another.
(i) In case of any dispute or difference arising out of or in relation to this Lease Deed, then the same shall be resolved and settled with the provision of the Arbitration and Conciliation Act 1996 or any statutory modification or re-enactments thereof. The place of Arbitration shall be New Delhi.
(iii) The parties to this Deed agree that the Court(s) in New Delhi shall have exclusive jurisdiction regarding any matter arising out of a related to this Deed, subject always to the Arbitration Clause."

5. Learned Counsel appearing for the Respondent submits that the matter can be referred to Delhi International Arbitration Centre (DIAC).

ARB.P. 2092/2024 Page 2 of 3

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 26/12/2024 at 21:27:53

6. With consent of the both the parties, this Court is inclined to refer the matter to Delhi International Arbitration Centre (DIAC).

7. Accordingly, the Delhi International Arbitration Centre (DIAC) is requested to appoint an Arbitrator to adjudicate upon the disputes between the Parties.

8. The arbitration would take place under the aegis of the Delhi International Arbitration Centre (DIAC) and would abide by its rules and regulations. The learned Arbitrator shall be entitled to fees as per the Schedule of Fees maintained by the DIAC.

9. The learned Arbitrator is also requested to file the requisite disclosure under Section 12(2) of the 1996 Act within a week of entering on reference.

10. All rights and contentions of the parties in relation to the claims/counter-claims are kept open, to be decided by the learned Arbitrator on their merits, in accordance with law.

11. Needless to say, nothing in this order shall be construed as an expression of this Court on the merits of the contentions of the parties.

12. The present petition stands disposed of in the above terms along with pending application(s), if any.

SUBRAMONIUM PRASAD, J DECEMBER 20, 2024 S. Zakir ARB.P. 2092/2024 Page 3 of 3 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 26/12/2024 at 21:27:53