The High Court of Karnataka appointed a sole arbitrator in a petition under Section 11(5) of the Arbitration Act, 1996, to adjudicate a dispute regarding non-payment of rent under a lease agreement, noting the respondent's absence.
Shri. S.B.N.Prakash, Retired District Judge, appointed as Sole Arbitrator to adjudicate the dispute.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
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IN THE HIGH COURT OF KARNATAKA AT BENGALURU
DATED THIS THE 22ND DAY OF MARCH, 2021
BEFORE
THE HON'BLE MR.JUSTICE S. SUNIL DUTT YADAV
CIVIL MISCELLANEOUS PETITION No.21/2021
BETWEEN :
ALL ARE RESIDING AT BHAVY NILAYA, NEW EXTENTION 1ST MAIN ROAD, KOLAR. ... PETITIONERS
(BY SRI. LAXMIKANTHA K.B., ADVOCATE)
AND:
SCHOLAR ALLEY PRIVATE LIMITED, REGISTERED OFFICE AT # 184,
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RAM VIHAR, DELHI (EAST), DELHI-110002 REPRESENTED BY ITS DIRECTOR PRIYANKA GERA
... RESPONDENT
(RESPONDENT SERVED)
THIS CIVIL MISCELLANEOUS PETITION IS FILED UNDER SECTION 11(5) OF THE ARBITRATION AND CONCILIATION ACT, 1996, PRAYING TO APPOINT THE SOLE ARBITRATOR UNDER SECTION 11(5) OF ARBITRATION AND CONCILIATION ACT 1996 TO ADJUDICATE THE DISPUTE BETWEEN THE PETITIONER AND RESPONDENT IN PURSUANCE OF AGREEMENT DATED 27.05.2019 AND ETC.
THIS PETITION COMING ON FOR ADMISSION THIS DAY, THE COURT, MADE THE FOLLOWING:
ORDER
Petitioners have sought for appointment of an arbitrator to determine the dispute between the parties in accordance with the provisions of the Arbitration and Conciliation Act, 1996 with respect to the disputes that have arisen relating to the Lease Agreement dated 27.05.2019.
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the property and had let out the same on rental basis to the respondent as per Lease Agreement dated 27.05.2019. It is further submitted that as the respondent committed default in paying rents and in the light of clause 20.2 of the Lease Agreement which provides for resolution of dispute by way of arbitration notice came to be issued to the respondent as per Annexure-H vide notice dated 02.12.2020 and same has been delivered to the respondent as per track consignment report enclosed at Annexure-J. It is further submitted that dispute is as detailed in the legal notice at Annexure-H. In the absence of any reply to the legal notice, or concurrence regarding appointment of arbitrator present petition is filed.
sufficient however there is no representation on behalf of respondent. The postal tracking report shows notice
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has been served on 13.02.2021, the respondent having been remained absent and has not contraverted the assertion of the petitioners as made out in the petition.
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Materials would clearly indicate the relationship between the parties as evidenced from the registered Lease Agreement dated 27.05.2019. In the light of the same, as the agreement provides for dispute resolution and noticing that petitioners have issued notice to the respondent detailing the dispute, the petition deserves to be allowed.
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All claims and contentions of any of the parties are left/kept open to be decided by the Arbitral Tribunal.
A copy of this order be sent forthwith to the Arbitration and Conciliation Centre (Domestic & International), Khanija Bhavan, Bengaluru, for proceeding further in the matter.
Registry is directed to return all original documents produced by any of the parties after obtaining Photostat copies of the same.
Sd/JUDGE
SB
2 issues framed by the court
Whether the Court should appoint a sole arbitrator where a dispute arises under a lease agreement with a valid arbitration clause, and the respondent fails to appear or object to the legal notice.
Whether the petitioners are entitled to seek appointment of an arbitrator under Section 11(5) of the Arbitration and Conciliation Act, 1996.
1 provisions across 1 enactments
B.L. Prabakar
B.P. Sujatha
B.P. Pavan
J.R. Shwetha Raj
Scholar Alley Private Limited
S. Sunil Dutt Yadav
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
