Gujarat High Court
D.R Garmetns (India) Pvt. Ltd vs M/S Jmc Projects (India) Limited on 15 June, 2016
Bench: M.R. Shah, A.S. Supehia
C/CA/2204/2016 JUDGMENT
IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
CIVIL APPLICATION (FOR STAY) NO. 2204 of 2016
In
FIRST APPEAL NO. 487 of 2016
For Approval and Signature:
HONOURABLE MR.JUSTICE M.R. SHAH Sd/
and
HONOURABLE MR.JUSTICE A.S. SUPEHIA Sd/
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1 Whether Reporters of Local Papers may be allowed to see No
the judgment ?
2 To be referred to the Reporter or not ? No
3 Whether their Lordships wish to see the fair copy of the No
judgment ?
4 Whether this case involves a substantial question of law as No
to the interpretation of the Constitution of India or any
order made thereunder ?
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D.R GARMETNS (INDIA) PVT. LTD.....Applicant(s)
Versus
M/S JMC PROJECTS (INDIA) LIMITED....Respondent(s)
=============================================
Appearance:
MR SK PATEL, ADVOCATE for the Applicant(s) No. 1
M/S WADIA GHANDY & CO, CAVEATOR for the Respondent(s) No. 1
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CORAM: HONOURABLE MR.JUSTICE M.R. SHAH
and
HONOURABLE MR.JUSTICE A.S. SUPEHIA
Date : 15/06/2016
ORAL JUDGMENT
(PER : HONOURABLE MR.JUSTICE M.R. SHAH) [1.0] RULE. Shri Tanvish Bhatt, learned advocate waives service of notice of Rule on behalf of the respondent. In the facts and circumstances of the case and with the consent of learned advocates appearing for respective parties, present application is taken up for final Page 1 of 3 HC-NIC Page 1 of 3 Created On Sun Jun 19 01:54:19 IST 2016 C/CA/2204/2016 JUDGMENT hearing today.
[2.0] Present application has been preferred by the applicant herein - original appellant - original applicant for an appropriate interim order during the pendency and final disposal of the main First Appeal to stay further implementation and operation of the award declared by the learned Arbitrator confirmed by the District Court.
[3.0] Heard Shri S.K. Patel, learned advocate appearing on behalf of the applicant and Shri Mihir Joshi, learned Counsel appearing on behalf of the respondent on interim relief.
[3.1] At the outset it is required to be noted that it is an award declared by the learned Arbitrator under the provisions of the Arbitration and Conciliation Act, 1996 by which the learned Arbitrator has declared the award awarding Rs.8,96,74,044/ to the original claimant - JMC Projects (India) Ltd. - respondent herein. That the judgment and award passed by the learned Arbitrator has been confirmed by the District Court in an application under Section 34 of the Arbitration and Conciliation Act, 1996. Appeal against the same has been admitted as there are contentions / points / issues more particularly the judgment and award passed by the learned Arbitrator was an ex parte award and the learned District Court, though specific points were raised with respect to the amount awarded by the learned Arbitrator, has not dealt with the same. Be that as it may, the award declared by the learned Arbitrator can be said to be and/or termed as main decree and therefore, to protect the interest of both the parties, following order is passed.
There shall be interim stay of further implementation, execution and operation of the impugned award passed by the learned Arbitrator confirmed by the District Court on condition that the applicant shall deposit entire amount as awarded by Page 2 of 3 HC-NIC Page 2 of 3 Created On Sun Jun 19 01:54:19 IST 2016 C/CA/2204/2016 JUDGMENT the learned Arbitrator with the District Court within a period of three months from today and on such deposit the respondent shall be permitted to withdraw 50% of the same by furnishing the Bank Guarantee and the balance 50% on furnishing the Corporate Guarantee backed by the resolution of the Board of Directors of the respondent Company. The same shall be without prejudice to the rights and contentions of the respective parties in the main appeal.
Rule is made absolute accordingly. In the facts and circumstances of the case, there shall be no order as to costs.
Sd/ (M.R. SHAH, J.) Sd/ (A. S. SUPEHIA, J.) Ajay Page 3 of 3 HC-NIC Page 3 of 3 Created On Sun Jun 19 01:54:19 IST 2016