High Court Allows Petition Under Section 11(6) of Arbitration and Conciliation Act, 1996 for Appointment of Arbitrator in Construction Contract Dispute. Court Appoints Sole Arbitrator to Adjudicate Disputes Arising from Contract Dated 27.09.2013.

High Court: Karnataka High Court Bench: BENGALURU
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Case Note & Summary

The petitioner, Sobha Projects and Trade Private Limited, filed a petition under Section 11(6) of the Arbitration and Conciliation Act, 1996, seeking appointment of an arbitrator to resolve disputes arising from a construction contract with the respondent, Gammon India Limited. The contract, executed on 27.09.2013, contained an arbitration clause. The court, after considering the submissions of both parties, found that an arbitration agreement existed and that disputes had arisen between the parties. Accordingly, the court allowed the petition and appointed a sole arbitrator to adjudicate the disputes. The decision was based on the existence of the arbitration clause and the failure of the parties to resolve the disputes amicably.

Headnote

A) Arbitration Law - Appointment of Arbitrator - Section 11(6) Arbitration and Conciliation Act, 1996 - Existence of Arbitration Agreement - The petitioner sought appointment of an arbitrator for disputes arising from a construction contract dated 27.09.2013 containing an arbitration clause. The court found that an arbitration agreement existed and appointed a sole arbitrator to adjudicate the disputes. (Paras 1-2)

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Issue of Consideration

Whether an arbitrator should be appointed under Section 11(6) of the Arbitration and Conciliation Act, 1996, given the disputes arising from the construction contract between the parties.

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Final Decision

The petition is allowed. The court appoints a sole arbitrator to adjudicate the disputes between the parties.

Law Points

  • Existence of arbitration agreement
  • Appointment of arbitrator under Section 11(6)
  • Arbitration and Conciliation Act
  • 1996
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Case Details

2017 LawText (KAR) (12) 17

C.M.P. No.228/2016

2017-12-08

Dr. Vineet Kothari

Shreyas Jayasimha, K.R. Muralikrishna

Sobha Projects and Trade Private Limited

Gammon India Limited

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Nature of Litigation

Petition under Section 11(6) of the Arbitration and Conciliation Act, 1996 for appointment of an arbitrator.

Remedy Sought

Appointment of a sole arbitrator to adjudicate disputes arising from a construction contract.

Filing Reason

Disputes arose between the parties in the contract for construction of a building at Bengaluru.

Issues

Whether an arbitrator should be appointed under Section 11(6) of the Arbitration and Conciliation Act, 1996?

Submissions/Arguments

Petitioner argued for appointment of arbitrator based on arbitration clause in contract dated 27.09.2013.

Ratio Decidendi

The existence of an arbitration agreement in the contract dated 27.09.2013 and the failure of the parties to resolve disputes amicably warrant the appointment of an arbitrator under Section 11(6) of the Arbitration and Conciliation Act, 1996.

Judgment Excerpts

The present petition has been filed by the Petitioner-M/s.Shobha Projects and Trade Private Limited, Bengaluru, against the Respondent-M/s.Gammon India Limited, Mumbai, under Section 11(6) of the Arbitration and Conciliation Act, 1996 for appointment of an Arbitrator on account of certain disputes arising between the parties in the contract for construction of building at Bengaluru. The contract in question which contains the Arbitration Clause between the parties was executed vide Annexure-A dated 27.09.2013.

Procedural History

The petitioner filed C.M.P. No.228/2016 under Section 11(6) of the Arbitration and Conciliation Act, 1996, seeking appointment of an arbitrator. The court heard the matter and passed the order on 08.12.2017.

Acts & Sections

  • Arbitration and Conciliation Act, 1996: Section 11(6)
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High Court High Court Allows Petition Under Section 11(6) of Arbitration and Conciliation Act, 1996 for Appointment of Arbitrator in Construction Contract Dispute. Court Appoints Sole Arbitrator to Adjudicate Disputes Arising from Contract Dated 27.09.2013.
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