Allowed

R.J. Shah and Co.Ltd. v. Celerity Power Pvt. Ltd.

Bombay HC15 Oct 2010ARBAP/114/2010

Case brief

AI extract

What is this about?

This application under Section 11(6) of the Arbitration and Conciliation Act, 1996 sought the appointment of an arbitrator. The court accepted a proposal for a three-week negotiation period and appointed Shri N.N. Shrikande as sole arbitrator, allowing for a potential settlement before proceedings commence.

What did the court decide?

Appointment of Shri N.N. Shrikande as Sole Arbitrator; undertaking of negotiation during three-week period permitted; counterclaims allowed.

R.J. Shah and Co.Ltd. Vs Celerity Power Pvt. Ltd. — Arbitration | Bombay HC (2010)

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1 arbap11410

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IN THE HIGH COURT OF JUDICATURE AT BOMBAY

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O.O.C.J.

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ARBITRATION APPLICATION NO. 114 OF 2010

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R.J. Shah & Co. Ltd. ...Applicant

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Versus

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Celerity Power Pvt. Ltd. ...Respondent

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Mr. G.M. Mohanty i/by M/s. Kirit N. Damania & Co. for the Applicant

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Mr. Zal Andhyarujina with Mr. D.V. Deokar and Mr.Himanshu Mahajan i/by M/s. Parimal K. Shroff & Co. for the Respondent.

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CORAM: DR. D.Y. CHANDRACHUD, J. 15 October, 2010 .

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P.C. :-

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This is an application under Section 11(6) of the Arbitration and Conciliation Act, 1996.

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The arbitration agreement is contained in Clause 21 of the Contract dated 14 February, 2008, which provides that in the event that the disputes between the parties are not mutually settled, they shall be resolved through arbitration under the Act. Evidently, parties have not

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been able to settle the disputes, despite letters dated 3 October, 2009,

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2 arbap11410

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7 April, 2010 and 11 May, 2010. At the same time, parties have acceded to the suggestion of the Court that, while making an appointment of an Arbitrator, this Court would leave it open to the parties to negotiate, in good faith, for a period of three weeks from today, so that, in the event that a conciliated settlement is arrived at, the arbitral Tribunal can, accordingly, be constituted and the Agreement taken on record. Learned counsel appearing on behalf of the respondent has suggested that, having regard to the nature of the disputes, an Arbitrator with suitable technical qualification be appointed.

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In the circumstances, the Arbitration Application is disposed

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of by appointing -

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Shri N.N. Shrikande Structural Engineer 42, Kalpak Artek Apartments Kalelkar Marg, Bandra (East) Mumbai 400 051

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as Sole Arbitrator under the Arbitration and Conciliation Act, 1996.

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The respondents would be at liberty to raise their counterclaim, if any. There shall be an order in these terms.

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The statement made on behalf of the parties that they shall negotiate, in good faith, for a period of three weeks from today is accepted. In the event that parties enter into an agreement/settlement, it has been agreed that they shall place the agreement/settlement on the record before the Arbitrator to facilitate the passing of a consent order, failing which the arbitration proceedings shall proceed in accordance with law.

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DR. D.Y. CHANDRACHUD, J.

R.J. Shah and Co.Ltd. v. Celerity Power Pvt. Ltd.

Case brief

What is this about?

What did the court decide?

R.J. Shah and Co.Ltd. v. Celerity Power Pvt. Ltd.

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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