Rollman Trading Company v. Heavy Engineering Corporation Ltd.
2025-02-07
M.S.RAMACHANDRA RAO
body2025
DigiLaw.ai
JUDGMENT : M.S. Ramachandra Rao, C.J. 1. This application has been filed under Section 11 (6) of the Arbitration and Conciliation Act, 1996 , for appointment of an Arbitrator to resolve the disputes between the parties arising out of invoice dated 27.11.2021 arising out of Purchase Order dated 23 rd March 2021. 2. Clause 15 of the Purchase Order (P2) contains the arbitration clause. 3. Petitioner had issued a notice (P9) dated 27.12.2023 to the respondent invoking the arbitration clause and claiming Rs.2,30,48,342/- with interests. 4. After receiving the same also, the respondent did not give any reply. 5. After filing of this Arbitration Application, notice was issued to the respondent on 29.11.2024 and Mr. Sushant Kumar accepted notice and sought time to file counter affidavit. Matter was then directed to be listed on 17.01.2025. On 17.01.2025, time was again sought for filing counter further time was again sought on behalf of the respondent for filing 31.01.2025, this Court noted that no counter affidavit is filed, and granted a last chance for filing counter affidavit to 07.02.2025, i.e., today. It was made clear that if no counter affidavit is filed by the respondent by today, the right of the respondent to file counter affidavit shall stand forfeited. 6. Notwithstanding the said peremptory order passed on 31.01.2025, the respondent has not chosen to file a counter affidavit. Therefore, the right of the respondent to file counter affidavit is forfeited. 7. Counsel for the respondent states that the amount claimed by the petitioner is incorrect. But that issue cannot be decided in this application and would have to be left to be adjudicated by the Arbitrator. 8. In view of the fact that the Purchase Order contains the arbitration clause which has already been invoked on 27.12.2023 by the petitioner, and since there is no valid objection to the appointment of Arbitrator, Justice Subhash Chand, Former Judge of this Court, is appointed as an Arbitrator to adjudicate the disputes between the parties. 9. Learned Arbitrator would be free to lay down fees and other expenses towards conduct of the arbitration proceedings, however, keeping into account the ceiling prescribed under Schedule IV of the Act of 1996 as amended. 10. Learned Arbitrator would endeavor to conclude the proceedings expeditiously, also taking into regard the mandate of the Legislature under Section 29A of the Act of 1996. 11.
10. Learned Arbitrator would endeavor to conclude the proceedings expeditiously, also taking into regard the mandate of the Legislature under Section 29A of the Act of 1996. 11. The Registry is directed to intimate the learned Arbitrator so appointed to take up the arbitration proceeding and send photocopy of the entire pleadings along with copy of the entire order sheets to the learned Arbitrator. 12. The Arbitration Application stands disposed of.