Allowed

Reacon Engineers (India) Pvt. Ltd. v. Ircon International Limited, through Its Managing Director

Delhi HC12 Dec 2017ARB.P./490/2017

Case brief

AI extract

What is this about?

The Delhi High Court appointed a sole arbitrator under Section 11 of the Arbitration and Conciliation Act, 1996, rejecting the contention that a No Claim Certificate discharged the arbitration agreement, holding this for the tribunal to decide.

What did the court decide?

Appointment of Mr. Pradeep Kumar Gupta as the Sole Arbitrator.

Reacon Engineers (India) Pvt. Ltd. Vs Ircon International Limited… — Arbitration | Delhi HC (2017)

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$~23

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IN THE HIGH COURT OF DELHI AT NEW DELHI

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- ARB.P. 490/2017 REACON ENGINEERS (INDIA) PVT. LTD. ..... Petitioner Through Mr.M.K.Ghosh, Ms.Tina Garg, Advs.

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versus

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IRCON INTERNATIONAL LIMITED, THROUGH ITS MANAGING DIRECTOR, ..... Respondent Through Mr.Sonal Kumar Singh, Ms.Swati Saigal, Mr.Rajat Dasgupta, Advs.

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CORAM:

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HON'BLE MR. JUSTICE NAVIN CHAWLA

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O R D E R

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% 12.12.2017

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This petition under Section 11 of the Arbitration and Conciliation Act, 1996 (hereinafter referred to as the ‘Act’) has been filed by the petitioner seeking appointment of a Sole Arbitrator for adjudication of the disputes that have arisen between the parties in relation to the agreement dated 9^th August, 2010 for construction of Indoor Stadium at Gholsapur (Behala) on Sealadh Division of Easter Railway - Pile Foundation, R.C.C. Structure work, Brick Work, Plastering, Sanitary and Plumbing works and fire Fighting works. The said agreement contains an arbitration clause between the parties. The petitioner invoked the same vide its notice dated 25^th January, 2016 and the reminder dated 23^rd March, 2016. As the respondent did not appoint an Arbitrator, the present petition was filed seeking appointment of a Sole Arbitrator.

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Upon issuance of notice on the petition, the respondent has

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filed its reply to the same. In the reply, a plea has been taken that the petitioner had executed ‘No Claim Certificate’ dated 29^th March, 2014 and in view thereof, no Arbitrator can be appointed as the arbitration agreement stands discharged.

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I am unable to accept the above argument of the respondent. Whether the ‘No Claim Certificate’ discharges the arbitration agreement or not itself is a question to be decided by the Arbitral Tribunal. In terms of Section 11 (6A) of the Act, this Court is to confine its examination only to the existence of an arbitration agreement between the parties. The same being not disputed, I see no hindrance in appointment of a Sole Arbitrator for adjudication of the disputes.

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Counsel for the respondent has handed over a list of retired officers empanelled as Arbitrators by the respondent. Counsel for the petitioner, on instructions, submits that Mr.Pradeep Kumar Gupta, Retired Additional Director General (Special), CPWD may be appointed as a Sole Arbitrator from the list provided.

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In view of the above, I hereby appoint Mr.Pradeep Kumar Gupta , Retired Additional Director General (Special), CPWD, T-17, Green Park Extn, New Delhi-110016, Mobile- 9971491696 as the Sole Arbitrator for adjudicating the disputes that have arisen between the parties in relation to the above agreement. The Sole Arbitrator shall make a disclosure in terms of Section 12 of the Act before proceeding with the arbitration.

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This order is being passed without prejudice to all submissions and contentions of respective parties which would remain open to be

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taken before the Arbitral Tribunal.

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The petition is allowed in the above terms, with no orders as to

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costs.

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Dasti.

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NAVIN CHAWLA, J DECEMBER 12, 2017 RN

Reacon Engineers (India) Pvt. Ltd. v. Ircon International Limited, through Its Managing Director

Case brief

What is this about?

What did the court decide?

Reacon Engineers (India) Pvt. Ltd. v. Ircon International Limited, through Its Managing Director

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

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