V.I.P Industries Limited vs Counfreedise Retail Services Limited

This is an Application under Section 11 of the Arbitration and Conciliation Act, 1996 (“ the Act ”), seeking appointment of an arbitrator in connection with disputes and differences that are said to have arisen between the parties under an Agreement dated November 6, 2017 (“ Agreement ”). The arbitration agreement is contained in Clause 21.1 (found at Page 40 of the Application). In the interest of brevity, the arbitration agreement is not being extracted here. Suffice it to say that this matter falls within the jurisdiction of this Court.

¶15

It is apparent from the record that the arbitration agreement was invoked by the Applicant on December 15, 2023, to which there is no

¶16

Page 1 of 4 July 2, 2025

¶17

Shraddha

¶18

502-CARBAP-149-2024 copy.docx

¶19

response from the Respondent. The Respondent has not entered appearance till date. The affidavit of service is taken on record.

¶20

The scope of review under Section 11 is explicitly set out in Section 11(6A) of the Act. It is now trite law, with particular regard to the decisions of a seven-judge bench in the Interplay Judgement¹ followed by multiple others, including SBI General² and Patel³ that the Section 11 Court ought not to venture beyond examining the existence of a validly existing arbitration agreement that has been formally executed. Even questions of existential substance is a matter that falls squarely in the domain of the arbitral tribunal, in view of Section 16 of the Act.

¶21

Being satisfied that an arbitration agreement is validly in existence, and that arbitration has been duly invoked, it is in the fitness of things to refer the disputes and differences between the parties in connection with the aforesaid Agreement to arbitration by a Sole Arbitrator.

¶22

In these circumstances, since existence of arbitration agreement is not in doubt, no useful purpose would be served keeping this Application

¶23

1 In Re: Interplay Between Arbitration Agreements Under Arbitration and Conciliation Act, 1996 & Stamp Act, 1899 – (2024) 6 SCC 1

¶24

2 SBI General Insurance Co. Ltd. v. Krish Spinning – 2024 SCC OnLine SC 1754

¶25

3 Ajay Madhusudan Patel v. Jyotrindra S. Patel – 2024 SCC OnLine SC 2597 Page 2 of 4

¶26

July 2, 2025

¶27

Shraddha

¶28

502-CARBAP-149-2024 copy.docx

¶29

pending any further. The Application is hereby finally disposed of , in the following terms :

¶30

A] Mr. Jimmy Avasia, a learned advocate of this Court (Email Id : [email protected]) is hereby appointed as the Sole Arbitrator to adjudicate upon the disputes and differences between the parties arising out of and in connection with the Agreement referred to above;

¶31

B] A copy of this Order will be communicated to the Learned Sole Arbitrator by the Advocates for the Applicant within a period of one week from the date on which this order is uploaded on the website of this Court. The Applicant shall provide the contact and communication particulars of the parties to the Arbitral Tribunal along with a copy of this Order;

¶32

C] The Learned Sole Arbitrator is requested to forward the statutory Statement of Disclosure under Section 11(8) read with Section 12(1) of the Act to the Advocates for the Applicant so as to enable them to file the same in the Registry of this Court. The Registry of this Court shall retain the said Statement on the file of this Application and a copy of the same shall be furnished by the Advocates for the Applicant to the Respondent;

¶33

D] The parties shall appear before the Learned Sole Arbitrator on such date and at such place as indicated, to obtain appropriate directions with regard to conduct of the arbitration including fixing a schedule for pleadings, examination of witnesses, if any, schedule of

¶34

Page 3 of 4 July 2, 2025

¶35

Shraddha

¶36

502-CARBAP-149-2024 copy.docx

¶37

hearings etc. At such meeting, the parties shall provide a valid and functional email address along with mobile and landline numbers of the respective Advocates of the parties to the Arbitral Tribunal. Communications to such email addresses shall constitute valid service of correspondence in connection with the arbitration;

¶38

E] All arbitral costs and fees of the Arbitral Tribunal shall be borne by the parties equally in the first instance, and shall be subject to any final Award that may be passed by the Tribunal in relation to costs.

¶39

Needless to say, nothing contained in this order is an expression of an opinion on merits of the matter or the relative strength of the parties. All issues on merits are expressly kept open to be agitated before the arbitral tribunal appointed hereby.

¶40

All actions required to be taken pursuant to this order, shall be taken upon receipt of a downloaded copy as available on this Court’s website.

¶41

[ SOMASEKHAR SUNDARESAN, J.]

¶42

Page 4 of 4 July 2, 2025

¶43

Shraddha

V.I.P Industries Limited v. Counfreedise Retail Services Limited

Case brief

What is this about?

What did the court decide?

V.I.P Industries Limited v. Counfreedise Retail Services Limited

Case brief

What is this about?

What did the court decide?

Why is it important?

What the court decided

Issues for consideration

Cases cited

Statutes considered

Procedural history

Parties & counsel

Coram

Case details

All orders in this case

Similar cases

Janvi Telefilms LLP vs Meenakshi Sagar and Anr.

Schokhi Industrial Pvt. Ltd. vs the Technical Director Stores

Zaara Enterprises Venture Private Limited a Private Limited Company CIN-U74140DL2014PTC264549 vs Hafeele India Private Limited, a Private Limited Company, CIN-U51393MH2003PTC140300

Hacienda Leasing and Infotech vs Palm Grove Beach Hotels Private Limited

Trading and Agency Services Limited Wll vs Ion Exchange India Limited

Saloja and Sons vs Union of India Represented through Its the General Manager