Partly allowed

Oswal Bandhu and Co.and Ors. v. Pannalal Ramnarayan

Bombay HC22 Feb 2005ARBP/289/2003

Case brief

AI extract

What is this about?

In an arbitration petition challenging an ex-parte award, the Bombay High Court set aside the award by consent of parties and appointed a new sole arbitrator. The court directed the petitioners to deposit Rs.2,75,000 as security within four weeks as a condition for the order to take effect.

What did the court decide?

The impugned award was set aside. Mr. S.R. Shah was appointed as the sole arbitrator. Petitioners were directed to deposit Rs.2,75,000 within four weeks as a condition for the order to take effect.

	IN	THE HIGH ORDINARY	COURT ORIG	OF INAL	JUDICATURE CIVIL		AT BOMBAY JURISDICTION
		ARBITRATION	PETITION		NO.289		OF 2003
M/s M/s Panna	Osw lal Ra	al Bandhu v/s mnarayan	and Co.	a ..	nd ors. . Respondents		... Petitioners
Mr		S.K.	Jain		for		Petitioners.
Mr	A.R.	Dhanuka	i/b Mr	S.M.	Jain	for	Respondents.
CORAM DATE		: :		22ND	D.K.DESHMU FEBR	KH UA	J. RY 2005

THE
HIGH
ORDINARY

COURT
ORIG

OF
INAL

JUDICATURE
CIVIL

AT
BOMBAY
JURISDICTION

ARBITRATION

PETITION

NO.289

OF
2003

M/s
M/s Panna

Osw
lal Ra

al
Bandhu
v/s
mnarayan

and
Co.

a
..

nd
ors.
. Respondents

...
Petitioners

S.K.

Jain

for

Petitioners.

A.R.

Dhanuka

i/b
Mr

S.M.

Jain

for

Respondents.

CORAM
DATE

:
:

22ND

D.K.DESHMU
FEBR

KH
UA

J.
RY
2005

1.		By this petition fi	led under	section	34 of the
Arbitration		and Conciliation	Act	1996,	an award	made	by
the	Arbitral	Tribunal of	th	e	Hindustan C	hamber	of
Commerce		is challenged.	Admi	ttedly,	it is an		ex-parte
award.		The petitioners	did	not	appear	before	the
Arbitral		Tribunal. After	havi	ng	heard learned		counsel
for	both	the sides	and	es	pecially consi	dering	the
willingness		expressed by	the	petit	ioners to	deposit	the

By this petition fi

led under

section

34 of the

Arbitration

and
Conciliation

Act

1996,

an
award

made

the

Arbitral

Tribunal
of

Hindustan
C

hamber

Commerce

is
challenged.

Admi

ttedly,

it
is
an

ex-parte

award.

The
petitioners

did

not

appear

before

the

Arbitral

Tribunal.
After

havi

heard
learned

counsel

for

both

the
sides

and

pecially
consi

dering

the

willingness

expressed
by

the

petit

ioners
to

deposit

the

2.		The	award impugned in the petition is	set
aside.	By	consent	of parties, Mr	S.R.	Shah	is
appointed		as Sole	Arbitrator. The	disputes	between	the
parties	in	relation	to which the award	impugned	in	the
petition	was	made	are referred to the	Arbitrator.		The
reference	shall	be	decided in a	ccordance	with	the
provisions	of	the	Arbitration and C	onciliation	Act	1996.
The	parties	shall	file their	respective	pl	eadings
afresh,	all	content	ions available to	both the	sides	are
kept	open.	This	order is subject	to the	condition	that
within	a	period	of four weeks	from	today,	the
petitioners	d	eposit	in this Court	an a	mount	of

The

award impugned in the petition is

set

aside.

consent

of
parties,
Mr

S.R.

Shah

appointed

as
Sole

Arbitrator.
The

disputes

between

the

parties

relation

to
which
the
award

impugned

the

petition

was

made

are
referred
to
the

Arbitrator.

The

reference

shall

decided
in
a

ccordance

with

the

provisions

the

Arbitration
and
C

onciliation

Act

1996.

The

parties

shall

file
their

respective

eadings

afresh,

all

content

ions
available
to

both
the

sides

are

kept

open.

This

order
is
subject

to
the

condition

that

within

period

of
four
weeks

from

today,

the

petitioners

eposit

in
this
Court

an
a

mount

Rs.2,75,000/-	with d	ue intimation to the	respo	ndents.
The Prothonot	ary and Se	nior Master of this Court		shall
permit the	respondents	to withdraw the amou	nt	on
submitting a	n undertaking	to this Court undertaking		to
redeposit the	amount if	so directed by this Court	or	by
the Arbitrator	or on such	terms and conditions as	may	be
directed by	this Court	or by the Arbitrator. In		case
the respondents	do	not withdraw the amount wit	hin	a
period of	four weeks	from he date of its deposit	,	the
amount be	invested	in fixed deposit in a	natio	nalised
Bank. The	disposal of	the amount shall be governe	d	by
the award that	may be	passed by the Arbitrator or	by	the
order of	this Court.	If the petitioners fail to		make
deposit of	the amount	within the aforesaid perio	d	as
directed, this	petition	shall be treated as	di	smissed
without any	orders. T	his order be communicated to		the
learned Arbitrator	by the	petitioners. This orde	r	shall

Rs.2,75,000/-

with
d

ue
intimation
to
the

respo

ndents.

The
Prothonot

ary
and
Se

nior
Master
of
this
Court

shall

permit
the

respondents

to
withdraw
the
amou

submitting
a

n
undertaking

to
this
Court
undertaking

redeposit
the

amount
if

so
directed
by
this
Court

the
Arbitrator

or
on
such

terms
and
conditions
as

may

directed
by

this
Court

or
by
the
Arbitrator.
In

case

the
respondents

not
withdraw
the
amount
wit

hin

period
of

four
weeks

from
he
date
of
its
deposit

the

amount
be

invested

in
fixed
deposit
in
a

natio

nalised

Bank.
The

disposal
of

the
amount
shall
be
governe

the
award
that

may
be

passed
by
the
Arbitrator
or

the

order
of

this
Court.

If
the
petitioners
fail
to

make

deposit
of

the
amount

within
the
aforesaid
perio

directed,
this

petition

shall
be
treated
as

smissed

without
any

orders.
T

his
order
be
communicated
to

the

learned
Arbitrator

by
the

petitioners.
This
orde

shall

Oswal Bandhu and Co.and Ors. v. Pannalal Ramnarayan

Case brief

What is this about?

What did the court decide?

Oswal Bandhu and Co.and Ors. v. Pannalal Ramnarayan

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Statutes considered

Parties & counsel

Coram

Case details

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