Shri. Bhawarlal Khivesra Vs Shri. Moolendra Kumar Gandhi

THIS CIVIL MISC. PETITION IS FILED UNDER SECTION 11(6) OF THE ARBITRATION AND CONCILIATION ACT, 1996, PRAYING THAT THIS HON'BLE COURT MAY BE PLEASED TO APPOINT A IMPARTIAL ARBITRATOR IN TERMS OF ARBITRATION CLAUSE (14) OF THE PARTNERSHIP DEED DATED 09.09.2004 FOR ADJUDICATION OF THE DISPUTE, IS AT ANNEXURE A, IN THE INTEREST OF JUSTICE AND EQUITY.

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THIS PETITION, COMING ON FOR ADMISSION, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:

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CORAM: HON'BLE MR. JUSTICE SURAJ GOVINDARAJ

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ORAL ORDER

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1. The petitioner is before this Court seeking for the

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following reliefs;

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" WHEREFORE, Petitioner prays that this Hon'ble court may be pleased to appoint a impartial Arbitrator in terms of Arbitration clause (14) of the Partnership Deed dated 09.09.2004 for adjudication of the dispute, is at Annexure A, in the interest of justice and equity."

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3 - NC: 2025:KHC:45438 CMP No. 455 of 2023

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HC-KAR

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The petitioner and respondents have entered into a

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partnership deed on 09.09.2004 , which is governed by an Arbitration Clause in terms of Clause 14 thereof, which is reproduced hereunder for easy reference;

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14. DISPUTES:

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Any dispute or difference which may arise between the partners, with regard to the construction, meaning and effect of this deed or any part thereof, or respecting the accounts, profits or losses of the business, or the rights and liabilities of the partners under this deed, or the dissolution or winding up of the business, or any of the connected issues, same shall be referred to Arbitration under the provisions of Arbitration and Reconciliation Act, 1999 and the decision thereof shall be final and binding upon the parties.

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3. There being certain disputes between the parties.

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The petitioner had issued a notice on 31.07.2023 , invoking the Arbitration Clause and nominating its Arbitrator.

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The said notice having been served on the respondents, initially, respondent No.5 replied vide undated letter calling upon the petitioner to furnish certain documents. The other respondents to a reply

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4 -

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NC: 2025:KHC:45438 CMP No. 455 of 2023

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HC-KAR

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notice sent through his counsel on 11.08.2023 contended that the partnership business had not been commenced. It is in that background that the petitioner before the Court seeks the aforesaid reliefs.

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Notice having been issued to the respondents was served, but none had entered an appearance. Hence, this Court would directed service of notice on the counsel who had replied to the notice under Section 21 of the Arbitration and Conciliation Act, 1996. Today, he submitted that he has no instructions in the matter.

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The only reason why the counsel who had issued the reply notice was served with a notice was to enable the respondents to be represented and make their submissions, which apparently, they do not wish to exercise.

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Be that as it may, a perusal of the documents indicates that there is a partnership deed executed

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5 - NC: 2025:KHC:45438 CMP No. 455 of 2023

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HC-KAR

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between the parties; the execution has not been denied in the reply to notices. The said partnership deed provides for any disputes to be adjudicated by way of arbitration, the petitioner having complied with the requirements of Section 21 of the Arbitration and Conciliation Act, 1996. The respondents having not consented to the same, the dispute would have to be referred to adjudication by way of an arbitrator.

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In that view of the matter, I pass the following:

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ORDER

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i. CMP is allowed .

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ii. Sri.Basavaraj Belavigi, a former District Judge of the District Judiciary, State of Karnataka , is appointed as a sole arbitrator to arbitrate the dispute between the parties under the aegis of the Arbitration Centre attached to this Court.

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6 - NC: 2025:KHC:45438 CMP No. 455 of 2023

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HC-KAR

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iii. Registry is directed to forward a copy of this order to the Director, Arbitration & Conciliation Centre for doing the needful.

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iv. Since the order is passed in the presence of the learned counsel for the petitioner, the petitioner shall appear before the Director, Arbitration & Conciliation Centre without requirement of any notice at 2.30 p.m. on 19.11.2025.

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v. All contentions are kept open.

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vi. In view of disposal of the main petition, pending IA's does not survive for consideration. Hence, IA stands disposed of.

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SD/(SURAJ GOVINDARAJ) JUDGE

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SR List No.: 1 Sl No.: 23

Shri. Bhawarlal Khivesra v. Shri. Moolendra Kumar Gandhi

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Shri. Bhawarlal Khivesra v. Shri. Moolendra Kumar Gandhi

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