High Court Punjab-Haryana High Court

Jastinder Singh vs State Of Punjab And Others on 28 August, 2009

Punjab-Haryana High Court
Jastinder Singh vs State Of Punjab And Others on 28 August, 2009
      IN THE HIGH COURT OF PUNJAB & HARYANA AT
                        CHANDIGARH



                                Arbitration Case No. 16 of 2009

                                Date of Decision: 28.08.2009


Jastinder Singh                                          ..Petitioner


                         versus


State of Punjab and others.                             ..Respondents


CORAM:      HON'BLE MR. JUSTICE T.S.THAKUR,CHIEF JUSTICE

1.Whether Reporters of local papers may be allowed to see the
judgment ?
2. Whether to be referred to the Reporters or not ?
3. Whether the judgment should be reported in the Digest?


Present :   Mr. Vishal Gupta, Advocate,
            for the petitioner.

            Ms. Madhu Dayal, Addl. A.G. Punjab
            for the respondents.

                                *****

T.S.Thakur, C.J. (Oral)

In this petition under Section 11(6)of the Arbitration &

Conciliation Act, 1996, the petitioner seeks a reference to an

independent Arbitrator for adjudication of certain disputes that have

arisen between the parties in relation to certain civil works for

construction of an alternate water supply scheme allotted to the

petitioner for execution. That an arbitration clause exists in the notice

inviting tenders, which was a part of the agreement between the parties,

is not disputed. According to the petitioner disputes having arisen, a
Arbitration Case No. 16 of 2009 [2]

notice was sent to the respondents to agree to the appointment of an

Arbitrator for adjudication of the same. Since no Arbitrator was

nominated by the respondents, the filing of the present petition under

Section 11(6) of the Act became unavoidable.

On behalf of the respondents, it is on the other hand

submitted that no notice like the one alleged in the application was ever

received by the respondents, there was, therefore, no question of

responding to the same by nominating an Arbitrator. It was alternatively

submitted that no dispute exists between the parties, which could call

for adjudication whether by way of arbitration or otherwise.

In so far as the first aspect viz. whether a notice was served

upon the respondents is concerned, the petitioner has placed on record a

copy of notice marked as Annexure P-12 and asserted that the same was

despatched by registered AD. That assertion is supported by an affidavit

also. That apart even after filing of this petition and issue of a notice

from this Court, the respondents have not chosen to appoint an

Arbitrator within a period of 30 days from the date of the receipt of the

Court notice. There is no explanation forthcoming for that failure either

the only explanation being appeared is that according to the

respondents there are no disputes which call for any process of

adjudication. That explanation does not stand closer scrutiny. It is trite

that a claim made by the petitioner when denied by the other party

gives rise to a dispute calling for adjudication. That such a denial has

been made in the present case is evident from the pleadings.

In the circumstances, a reference to an arbitration has

indeed become necessary. I accordingly allow this petition and refer the
Arbitration Case No. 16 of 2009 [3]

disputes between the parties to the sole arbitration of Justice A.L.Bahri,

former Judge of this Court. The parties shall appear before the

Arbitrator for directions on 19.09.2009 at 10.00 A.M. The Arbitrator

fee is fixed at Rs. 10000/- per hearing subject to a maximum of

Rs. 1,00,000/- (Rs. One lac) to be deposited by the parties in the ratio

and the manner directed by the Arbitrator. No costs.

(T.S.THAKUR)
CHIEF JUSTICE

28.08.2009
‘ravinder’