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[Cites 4, Cited by 0]

Bombay High Court

Raju V. Shah vs Vidhi Research And Development Llp And 4 ... on 5 May, 2022

Author: G.S.Kulkarni

Bench: G. S. Kulkarni

                       sat                                                             908. carbpl 14445-2022



                                        IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                                            ORDINARY ORIGINAL CIVIL JURISDICTION

                                  COMMERCIAL ARBITRATION PETITION (L) NO. 14445 OF 2022

                             Raju V. Shah                                      ...Petitioner
                                   vs.
                             Vidhi Research and Development LLP & Ors.         ...Respondents

                             Mr.Chetan Kapadia with Mr.Malcolm Siganporia, Y.P. Dardiwala, Rajesh
                             Satpalkar and M. Avasia i/b. Mulla & Mulla & Craigie Blunt & Caroe for
                             Petitioner.
                             Dr.Birendra Saraf, Senior Counsel with Hrushi Narvekar, Nishit Dhruva,
                             Yash Dhruva, Khushbu Chhajed, Shahbaz Malbarki for Respondent Nos.1 to
                             4.
                             Mr.Devanshu Desai for Respondent No.5.

                                                            CORAM : G. S. KULKARNI, J.

                                                            DATED : 5 MAY 2022

                             P.C. :

                             .           This petition filed under Section 9 of the Arbitration and
                             Conciliation Act, 1996 was heard by this court for some time.


                             2.          After hearing the parties for some time, learned Counsel for
                             the parties are agreeable that the disputes and differences between the
                             parties, which have arisen under the LLP Agreement dated 14 August 2014,
                             read with Addendum dated 31 August 2015 and the Supplementary Deed
                             dated 21 May 2016, be referred for adjudication by appointing an arbitral
                             tribunal. It is also agreed between the parties that the present petition can
                             be converted into an application under Section 17 of the Arbitration and
                             Conciliation Act to be agitated by the arbitral tribunal keeping all
                             contentions of the parties open.

          Digitally
          signed by
          SANSKRUTI
SANSKRUTI A THAKUR
A THAKUR Date:
          2022.05.06
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          16:20:26
          +0530
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      3.           Till Section 17 application is decided, it is agreed on behalf of
      Respondent Nos.2 to 4 that the Resolution in regard to the Petitioner being
      called upon to bring in a contribution of Rs.54 crores would not be acted
      upon. It is also agreed by Respondent Nos.2 to 4 that in the event, any
      decision is taken to create any third party rights in respect of the assets of
      the LLP, a notice of four weeks shall be issued to the Petitioner, if any such
      action is to be taken. In regard to any other grievance, all contentions of
      the Petitioner and/or Respondent Nos.2 to 4 are kept open. The parties are
      agreeable of that all such contentions can be agitated before the arbitral
      tribunal.


      4.           In view of the consensus, as noted above, the present petition
      would not require any further adjudication. The petition, accordingly, is
      disposed of in terms of the following order :


                                            ORDER

(i) By consent of parties, Mr. Pradeep Sancheti, Senior Advocate of this Court, is appointed as a Sole Arbitrator to adjudicate the disputes between the parties under LLP Agreement, in question, as noted above;

(ii) The learned sole arbitrator, before entering the arbitration reference, shall forward a statement of disclosure as per the requirement of Section 11(8) read with Section 12(1) of the Arbitration and Conciliation Act,1996, to the Prothonotary & Senior Master of this Court by email id - [email protected], to be placed on record of this application with a copy to be forwarded to both the 2/4 sat 908. carbpl 14445-2022 parties;

(iii) At the first instance, the parties shall appear before the prospective arbitrator within 10 days from today on a date which may be mutually fixed by the learned sole arbitrator;

(iv) The present petition filed under Section 9 of the Act is permitted to be converted in an application under Section 17 to be adjudicated by the arbitral tribunal;

(v) Till any interim or final orders are passed on Section 17 proceedings, which may be filed by the parties, the statement, as made on behalf of Respondent Nos.2 to 4 and as noted in paragraph (3) above, shall continue to operate and shall be subject to further appropriate orders, which shall be passed by the arbitral tribunal. The statement made by Respondent Nos.2 to 4 are without prejudice to the rights and contentions of these Respondents;

(vi) The Section 17 application be decided, as expeditiously as possible, and within a period of eight weeks from the date the learned arbitrator enters reference;

(vii) The fees payable to the arbitral tribunal shall be the fees as prescribed under the Bombay High Court (Fees Payable to Arbitrators) Rules,2018.

(viii) All contentions of the parties are expressly kept open.

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sat 908. carbpl 14445-2022

(ix) The petition is disposed of in the above terms. No costs.

(x) Office to forward a copy of this order to the learned Arbitrator on the following address:

Mr. Pradeep Sancheti, Senior Advocate, 202-203, Mulla House (II Floor), 51 M.G. Road, Mumbai - 400 001.

(G.S.KULKARNI, J.) 4/4