KUTUB PROPERTIES PRIVATE LTD v. C. L. CONSTRUCTION COMPANY
2005-01-19
S.RAVINDRA BHAT, VIJENDER JAIN, VUENDER JAIN
body2005
DigiLaw.ai
Vijender Jain, J. ( 1 ) THIS petition has been filed impugning the order vol. CXVII KUTUB PROPERTIES P. LTD. v. C. L. CONSTRUCTION CO. 209 passed by the learned Single Judge dated 23rd July, 2003 whereby exercising jurisdiction under Section 11 of the Arbitration and Conciliation Act. The learned Single Judge noticed that there was an arbitration clause which has been reproduced in the impugned order and the work was to be completed in terms of tender/contract clauses which was enclosed to a letter given by the appellant to the respondent. Learned Counsel appearing for the petitioner vehemently contended that there was no signed arbitration agreement between the parties, only one letter was given to the respondent and on the basis of said letter, the finding of the learned Single Judge that there was a valid concluded arbitration agreement between the parties was perverse. Mr. Chawla has further contended that the petition under Section 11 filed by the respondent was premature as no request was made by the respondent invoking the arbitration clause. Another ground of attack to the impugned order was on account of lack of jurisdiction. It was contended that the appellant had nothing to do in Delhi, their site was at Gurgaon and their office is at Calcutta. Lastly, it was contended by learned Counsel for the petitioner that the learned Single judge committed an error while appointing a retired Judge of this Court as an arbitrator as he was not qualified in terms of the arbitration clause. On the other hand, learned Counsel for the respondent has contended that at page 164 of the paper book, there was a letter written by the petitioner dated 14th november, 1996 and it cannot be said that there was no written agreement between the parties. It is relevant to quote the aforesaid letter of the petitioner written to the respondent, which is as under: 14 November, 1996 m/s. C L Construction Company g-1-205, Raj Tower, alaknanda, new Delhi - 110 019. Sub: Construction of site at Plot No. 26, Sector-18, Electronics City, gurgaon. Dear Sir, this has reference to your tender on the above subject and the subsequent discussions/negotiations we had in the office of our Architect, Mr. Arvind Deshraj, we are pleased to inform you that the above tender has been awarded to you. The original price of the tender was Rs. 1,09,98,950/- as quoted by you.
Dear Sir, this has reference to your tender on the above subject and the subsequent discussions/negotiations we had in the office of our Architect, Mr. Arvind Deshraj, we are pleased to inform you that the above tender has been awarded to you. The original price of the tender was Rs. 1,09,98,950/- as quoted by you. However, as mutually agreed after negotiations the value of the tender is revised to Rs. 1,04,49,002/- after a discount of 5% from you. As per terms and conditions of the tender (details given in the tender), you are requested to contact our Architect, M/s. Arvind Deshraj and Associates for necessary instructions and arrange to start the work at the earliest. The formal agreement will be signed in due course. .