{"id":157581,"date":"2006-04-17T00:00:00","date_gmt":"2006-04-16T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/rodemadan-india-limited-vs-international-trade-expo-centre-on-17-april-2006"},"modified":"2016-10-10T19:18:16","modified_gmt":"2016-10-10T13:48:16","slug":"rodemadan-india-limited-vs-international-trade-expo-centre-on-17-april-2006","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/rodemadan-india-limited-vs-international-trade-expo-centre-on-17-april-2006","title":{"rendered":"Rodemadan India Limited vs International Trade Expo Centre &#8230; on 17 April, 2006"},"content":{"rendered":"<div class=\"docsource_main\">Supreme Court of India<\/div>\n<div class=\"doc_title\">Rodemadan India Limited vs International Trade Expo Centre &#8230; on 17 April, 2006<\/div>\n<div class=\"doc_author\">Author: B Srikrishna<\/div>\n<div class=\"doc_bench\">Bench: B.N. Srikrishna<\/div>\n<pre>           CASE NO.:\nArbitration Petition  25 of 2005\n\nPETITIONER:\nRodemadan India Limited\n\nRESPONDENT:\nInternational Trade Expo Centre Limited\n\nDATE OF JUDGMENT: 17\/04\/2006\n\nBENCH:\nB.N. Srikrishna\n\nJUDGMENT:\n<\/pre>\n<p>J U D G M E N T<\/p>\n<p>B.N Srikrishna, J.\n<\/p>\n<p>\tThis is an application under Section 11(6) of the Arbitration and<br \/>\nConciliation Act, 1996 (hereinafter referred to as &#8220;the Act&#8221;) for appointment<br \/>\nof a Presiding Arbitrator\/ Chairperson of the Arbitral Tribunal under the<br \/>\narbitration agreement. It has been placed before me as the person designated<br \/>\nby the Chief Justice to act under Section 11(6) of the Act.\n<\/p>\n<p>\tThe Respondent-Company has a lease of the land situated at Plot No.<br \/>\nA-11, Sector-62, Noida from the New Okhla Industrial Development<br \/>\nAuthority for a period of ninety years. The Respondent wanted to construct<br \/>\nand develop an Exhibition Centre on the said land. There were negotiations<br \/>\nbetween the Petitioner-Company and the Respondent-Company, as a result<br \/>\nof which an exclusive Management Agreement was arrived at on<br \/>\n29.10.2003. Under the said agreement, the Petitioner was granted the<br \/>\nexclusive right to manage the said plot of land for a period of ten years from<br \/>\nthe date on which &#8216;Vacant Possession&#8217; was handed over to it. Certain other<br \/>\nterms as to payments were agreed to between the parties. Two clauses, 8.0<br \/>\nand 8.1 of the said agreement, which are of relevance, are as under:<br \/>\n&#8220;8.0 In the event of breach of warranties by any of the parties<br \/>\nthe other party can seek relief by way of specific performance<br \/>\nof the contract.\n<\/p>\n<p>\t8.1\tArbitration: Any dispute, controversy or claim arising out<br \/>\nof or in relation to this exclusive Management Agreement shall<br \/>\nbe settled by a panel of three arbitrators (the &#8220;Arbitration<br \/>\nPanel&#8221;) in accordance with the provisions of the Arbitration and<br \/>\nConciliation Act, 1996. ITEC and Rodemadan shall appoint one<br \/>\narbitrator each and such arbitrators shall, within seven days of<br \/>\ntheir appointment, designate a third person to act as the<br \/>\nchairman and the presiding arbitrator. The arbitral proceedings<br \/>\nshall take place in Delhi and shall be conducted in the English<br \/>\nlanguage. Any such dispute, controversy or claim submitted for<br \/>\narbitration shall be considered a commercial dispute arising<br \/>\nunder the Arbitration and Conciliation Act, 1996. The award of<br \/>\nthe Arbitration Panel shall be a reasoned one, and shall be final<br \/>\nand binding on the Parties.&#8221;\n<\/p>\n<p>\tCertain disputes had arisen between the parties, as a result of which,<br \/>\non 16.3.2005 the Petitioner filed an application under Section 9 of the Act<br \/>\nbefore the High Court of Delhi (OMP No. 98\/2005) and obtained an order<br \/>\ndirecting the Respondent to maintain status quo with regard to the<br \/>\npossession and title of the said plot of land.\n<\/p>\n<p>\tOn 8.4.2005, the Petitioner sent a legal notice to the Respondent<br \/>\ninvoking Clause 8.1 of the said agreement. By the said notice invoking<br \/>\narbitration, the Petitioner appointed Dr. L.M. Singhvi, Senior Advocate, as<br \/>\nits nominee arbitrator in terms of the Management Agreement and requested<br \/>\nthe Respondent to nominate its arbitrator in terms of the said clause within a<br \/>\nperiod of thirty days from the date of receipt of the notice. It was clarified in<br \/>\nthe said notice that since the agreement provided for Indian Law as the<br \/>\napplicable law, an Indian jurist had been appointed. It was stated that this<br \/>\nwould not be deemed or construed to be a waiver of the Petitioner&#8217;s right to<br \/>\nhave the third or Presiding Arbitrator from a neutral country (i.e. other than<br \/>\nIndia and Cyprus), the arbitration invoked being an &#8220;International<br \/>\nCommercial Arbitration&#8221; within the meaning of Section 2(1)(f) of the Act.<br \/>\nOn 4.5.2005, the Respondent replied to the said notice of the Petitioner,<br \/>\nraising several contentions, inter alia taking the stand that there was no<br \/>\narbitration agreement in existence. Nonetheless, it appointed Justice S.C.<br \/>\nJain, a retired Judge of the Allahabad High Court as its nominee arbitrator<br \/>\n&#8220;without prejudice&#8221; to their right to challenge the validity of the arbitration<br \/>\nproceedings. By a letter dated 20.5.2005, Justice Jain accepted his<br \/>\nappointment as an arbitrator. However, since the two arbitrators were not<br \/>\nable to arrive at a consensus with regard to the appointment of the Presiding<br \/>\nArbitrator\/ Chairperson of the Arbitral Tribunal, the Petitioner moved this<br \/>\napplication under Section 11(6) of the Act on 29.8.2005 for appointment of a<br \/>\nPresiding Arbitrator\/ Chairperson of the Arbitral Tribunal.\n<\/p>\n<p>\tMr. Ranjit Kumar, learned Senior Counsel for the Respondent, has<br \/>\nraised a preliminary objection that the petition has been filed by the<br \/>\nPetitioner-Company through Mr. Roger Shashoua, authorized representative<br \/>\nof the Petitioner-Company, but verified and signed by Mr. Raj Manek<br \/>\nholding a Power of Attorney from Mr. Roger Shashoua. The contention is<br \/>\nthat the Power of Attorney only permits Mr. Raj Manek to represent Mr.<br \/>\nRoger Shashoua in his personal capacity but does not empower him to<br \/>\nrepresent the Petitioner-Company. Mr. R.F. Nariman, learned Senior<br \/>\nCounsel for the Petitioner, has drawn our attention to Exhibit P\/R-2 filed<br \/>\nalong with the rejoinder. The document Exhibit P\/R-2, which is a certificate<br \/>\nby Mr. Roger Shashoua, Director of the Petitioner-Company, clarifies that<br \/>\nMr. Raj Manek is duly authorized to represent him in his personal capacity<br \/>\nas well as the Petitioner-Company:\n<\/p>\n<p>&#8220;before any court or other judicial authority or any other<br \/>\nconcerned authority to file petitions, applications, documents<br \/>\netc. and to appoint any advocate in connection thereto and to do<br \/>\nall acts, deeds and things that the above Mr. Raj Manek may<br \/>\ndeem fit and proper in pursuance thereof.&#8221;\n<\/p>\n<p> In view of this document, I find no substance in the contention.\n<\/p>\n<p>\tMr. Ranjit Kumar, learned Senior Counsel for the Respondent, raised<br \/>\na further preliminary contention that in view of the decision of the<br \/>\nConstitution Bench in SBP &amp; Co.  v.  Patel Engineering Ltd. , it has now<br \/>\nbeen conclusively held that the power exercised by the Chief Justice or his<br \/>\ndesignate under Section 11(6) of the Act, is not an administrative but a<br \/>\njudicial power and that the designate of the Chief Justice has to judicially<br \/>\ndetermine the issues arising under Section 11(6) of the Act. He contends that<br \/>\nunder Article 145 of the Constitution of India, the Supreme Court is<br \/>\nempowered to frame &#8220;rules for regulating generally the practice and<br \/>\nprocedure of the Court&#8221;, and under Clause (2), the minimum number of<br \/>\nJudges, who were to sit for any purpose, is also to be fixed by the rules. The<br \/>\nSupreme Court has framed rules known as the Supreme Court Rules, 1966<br \/>\n(hereinafter referred to as &#8220;the Rules&#8221;). Under Order VII Rule 1 of the Rules,<br \/>\n&#8220;Every cause, appeal or matter shall be heard by a Bench consisting of not<br \/>\nless than two Judges nominated by the Chief Justice&#8221;. Exception is made for<br \/>\nthose matters specifically provided thereunder, which could be heard by a<br \/>\nJudge sitting singly nominated by the Chief Justice. The contention is that<br \/>\nsince a petition under Section 11(6) of the Act is not specifically enumerated<br \/>\nunder the proviso to Order VII Rule 1 of the Rules, such a petition would<br \/>\nhave to be heard by a Bench consisting of not less than two Judges.\n<\/p>\n<p>\tIn my view, this contention is entirely misconceived for two reasons.<br \/>\nIn the first place, Article 145 of the Constitution itself proceeds by declaring<br \/>\nthat the provisions of the Article were &#8220;subject to the provisions of any law<br \/>\nmade by Parliament&#8221;. The Act is definitely a &#8220;law made by Parliament&#8221; and<br \/>\nit does not prescribe that a petition under Section 11(6) has to be heard by a<br \/>\nBench consisting of at least two Judges. Second, the power under Article<br \/>\n145 of the Constitution and the Rules framed thereunder, are intended to<br \/>\ngovern the practice and procedure of the Supreme Court. I am unable to<br \/>\npersuade myself to believe that, the power exercisable by the Chief Justice<br \/>\nunder Section 11(6) of the Act is the power of the Supreme Court under the<br \/>\nConstitution. My first impression on this issue is also confirmed by the<br \/>\njudgment of this court in Patel Engineering (supra), where it was observed<br \/>\nthat:\n<\/p>\n<p>&#8220;It is common ground that the Act has adopted the UNCITRAL<br \/>\nModel Law on International Commercial Arbitration, but at the<br \/>\nsame time, it has made some departures from the Model Law.<br \/>\nSection 11 is in the place of Article 11 of the Model Law.  The<br \/>\nModel Law provides for the making of a request under Article<br \/>\n11 to &#8220;the court or other authority specified in Article 6 to take<br \/>\nthe necessary measure&#8221;. The words in Section 11 of the Act are<br \/>\n&#8220;the Chief Justice or the person or institution designated by<br \/>\nhim&#8221;. The fact that instead of the court, the powers are<br \/>\nconferred on the Chief Justice, has to be appreciated in the<br \/>\ncontext of the statute.  &#8220;Court&#8221; is defined in the Act to be the<br \/>\nPrincipal Civil Court of original jurisdiction of the district and<br \/>\nincludes the High Court in exercise of its ordinary original civil<br \/>\njurisdiction. The Principal Civil Court of original jurisdiction is<br \/>\nnormally the District Court. The High Courts in India<br \/>\nexercising ordinary original civil jurisdiction are not too many.<br \/>\nSo in most of the States the court concerned would be the<br \/>\nDistrict Court.   Obviously, Parliament did not want to confer<br \/>\nthe power on the District Court, to entertain a request for<br \/>\nappointing an arbitrator or for constituting an Arbitral Tribunal<br \/>\nunder Section 11 of the Act. It has to be noted that under<br \/>\nSection 9 of the Act, the District Court or the High Court<br \/>\nexercising original jurisdiction, has the power to make interim<br \/>\norders prior to, during or even post-arbitration.  It has also the<br \/>\npower to entertain a challenge to the award that may ultimately<br \/>\nbe made.   The framers of the statute must certainly be taken to<br \/>\nhave been conscious of the definition of &#8220;court&#8221; in the Act.  It is<br \/>\neasily possible to contemplate that they did not want the power<br \/>\nunder Section 11 to be conferred on the District Court or the<br \/>\nHigh Court exercising original jurisdiction. The intention<br \/>\napparently was to confer the power on the highest judicial<br \/>\nauthority in the State and in the country, on the Chief Justices<br \/>\nof the High Courts and on the Chief Justice of India.&#8221;\n<\/p>\n<p>In short, the power under Section 11(6) is the power of a designate<br \/>\nreferred to under the Section and not that of the Supreme Court, albeit that it<br \/>\nhas now been held to have judicial characteristics by reason of the judgment<br \/>\nin Patel Engineering (supra). Since this is the power of the Chief Justice<br \/>\nand not the power of the Supreme Court, the specification in Order VII Rule<br \/>\n1 of the Rules as to the minimum number of Judges, would have no<br \/>\napplication thereto. If the argument of the learned counsel is right, then even<br \/>\nthe Chief Justice cannot pass such an order unless he is sitting in a Bench<br \/>\nwith one or more companion Judge. No such intention is evidenced by<br \/>\nParliament in enacting Section 11(6) of the Act. Since Parliament has<br \/>\nenacted a law under which the power is exercisable by the Chief Justice or<br \/>\nhis designate, who could be &#8220;any person or institution&#8221;, I do not think that<br \/>\nthe requirement of Order VII Rule 1 of the Rules would apply to such a<br \/>\nsituation at all. The contention is, therefore, rejected.\n<\/p>\n<p>The Respondent&#8217;s main opposition to this petition is on the ground<br \/>\nthat there is no arbitration agreement in existence since the Management<br \/>\nAgreement was merely a proposal, which was subject to approval of the<br \/>\nshareholders of the company; that a meeting was called for the shareholders<br \/>\nof the company at which the said proposal was put forward for approval and<br \/>\nwas specifically rejected by a resolution passed by the shareholders; that the<br \/>\nnomination of Justice Jain was without prejudice to the rights and<br \/>\ncontentions of the Respondent and that this petition was misconceived and<br \/>\nuntenable as the High Court of Delhi would have exclusive jurisdiction in<br \/>\nthe matter, as it had already been moved under Section 9 of the Act. For the<br \/>\nsaid reasons, the Respondent has sought dismissal of this petition.\n<\/p>\n<p>\tBefore examining the facts of the present petition, it is necessary to<br \/>\nencapsulate the conditions necessary for the exercise of the designate&#8217;s<br \/>\npower under Section 11(6) and the judicial determinations necessary by the<br \/>\ndesignate at the stage of Section 11(6). In addition to the conditions already<br \/>\nenumerated in the Section, the judgment in Patel Engineering (supra)<br \/>\nprovides that:\n<\/p>\n<p>&#8220;The Chief Justice or the designated judge will have the right to<br \/>\ndecide the preliminary aspects as indicated in the earlier part of<br \/>\nthis judgment.  These will be his own jurisdiction to entertain<br \/>\nthe request, the existence of a valid arbitration agreement, the<br \/>\nexistence or otherwise of a live claim, the existence of the<br \/>\ncondition for the exercise of his power and on the qualifications<br \/>\nof the arbitrator or arbitrators&#8221;\n<\/p>\n<p>Further, it has also been held that determination of certain preliminary<br \/>\njurisdictional issues is mandatory for the designate:<br \/>\n &#8220;It is necessary to define what exactly the Chief Justice,<br \/>\napproached with an application under Section 11 of the Act, is<br \/>\nto decide at that stage. Obviously, he has to decide his own<br \/>\njurisdiction in the sense whether the party making the motion<br \/>\nhas approached the right High Court.   He has to decide whether<br \/>\nthere is an arbitration agreement, as defined in the Act and<br \/>\nwhether the person who has made the request before him, is a<br \/>\nparty to such an agreement. It is necessary to indicate that he<br \/>\ncan also decide the question whether the claim was a dead one;<br \/>\nor a long barred claim that was sought to be resurrected and<br \/>\nwhether the parties have concluded the transaction by recording<br \/>\nsatisfaction of their mutual rights and obligations or by<br \/>\nreceiving the final payment without objection.  It may not be<br \/>\npossible at that stage, to decide whether a live claim made, is<br \/>\none which comes within the purview of the arbitration clause.<br \/>\nIt will be appropriate to leave that question to be decided by the<br \/>\nArbitral Tribunal on taking evidence, along with the merits of<br \/>\nthe claims involved in the arbitration. The Chief Justice has to<br \/>\ndecide whether the applicant has satisfied the conditions for<br \/>\nappointing an arbitrator under Section 11(6) of the Act.&#8221;\n<\/p>\n<p>I am, therefore, required to decide whether the preliminary conditions<br \/>\nnecessary for the exercise of the designate&#8217;s power under Section 11(6) are<br \/>\nsatisfied, especially whether there exists a valid arbitral agreement.\n<\/p>\n<p>One more issue needs appraisal here: what kind of evidence is the<br \/>\ndesignate under Section 11(6) required to place reliance on to arrive at a<br \/>\nfinding on the preliminary jurisdictional issues? According to the judgment<br \/>\nin Patel Engineering (supra):\n<\/p>\n<p>&#8220;For the purpose of taking a decision on these aspects<br \/>\n(preliminary jurisdictional issues), the Chief Justice can either<br \/>\nproceed on the basis of affidavits and the documents produced<br \/>\nor take such evidence or get such evidence recorded, as may be<br \/>\nnecessary. We think that adoption of this procedure in the<br \/>\ncontext of the Act would best serve the purpose sought to be<br \/>\nachieved by the Act of expediting the process of arbitration,<br \/>\nwithout too many approaches to the court at various stages of<br \/>\nthe proceedings before the Arbitral tribunal.&#8221;\n<\/p>\n<p>Accordingly, I am given wide discretion to decide what evidence<br \/>\noral or documentaryis necessary for me to make an effective finding on<br \/>\nthe preliminary jurisdictional issues.\n<\/p>\n<p>That an agreement dated 29.10.2003 was signed by the Directors of<br \/>\nthe Respondent-Company for and on behalf of the Respondent as well as by<br \/>\nthe Directors of the Petitioner-Company for and on behalf of the Petitioner is<br \/>\nnot in dispute. What is in dispute is that, subsequent thereto, the said<br \/>\nagreement has been repudiated in an Extraordinary General Meeting alleged<br \/>\nto have been held on 14.9.2004. It is further alleged that the Management<br \/>\nAgreement dated 29.10.2003, which was signed by the Directors of the<br \/>\nPetitioner on the one hand and the Directors of the Respondent on the other<br \/>\nhand was merely a proposal subject to approval of the shareholders of the<br \/>\nRespondent-Company. Certain documents are placed on record and my<br \/>\nattention has been drawn thereto in support of this stand of the Respondent.\n<\/p>\n<p>\tThe Petitioner, however, has emphatically denied that any resolution<br \/>\nwas passed in the Board Meeting of 14.9.2004, as alleged, by which the<br \/>\nManagement Agreement has been repudiated or rendered ineffective. One<br \/>\nRoger Shashoua, who is a major shareholder and Director of the Petitioner-<br \/>\nCompany, is also a major shareholder and Director of the Respondent-<br \/>\nCompany, had personal knowledge as to the affairs of the Respondent-<br \/>\nCompany and, therefore, the Petitioner is aware that no such Extraordinary<br \/>\nGeneral Meeting of the Respondent-Company was held on 14.9.2004 at all,<br \/>\nas alleged. However, in support of his stand, Mr. Ranjit Kumar drew my<br \/>\nattention to copies of certain resolutions purporting to the extract of the<br \/>\nresolution passed on 14.9.2004 at 11:00 A.M. in an Extraordinary General<br \/>\nMeeting held at Business Centre, Hotel Park Royal Intercontinental, Nehru<br \/>\nPlace, New Delhi. This resolution is vehemently disputed by Mr. Nariman,<br \/>\nappearing for the Petitioner-Company.\n<\/p>\n<p>It is not possible to accept the correctness of the disputed documents<br \/>\nor to proceed on the footing that there was such a resolution passed in an<br \/>\nExtraordinary General Meeting by which the Management Agreement of<br \/>\n29.10.2003 was not approved and, therefore, resolved to be treated as null<br \/>\nand void. Mr. Ranjit Kumar then suggested that he be given an opportunity<br \/>\nto lead evidence, including oral evidence to substantiate his stand.<br \/>\nExercising the discretion granted to me in Patel Engineering (supra), I<br \/>\ndecline Mr. Ranjit Kumar&#8217;s request as I do not believe that oral evidence is<br \/>\nnecessary to determine the present issue. I decline to do so for even if the<br \/>\npower under Section 11(6) be judicial in the sense of requiring a judicial<br \/>\ndetermination by the designate of the Chief Justice, it surely does not render<br \/>\nthe designate of the Chief Justice into a trial court.\n<\/p>\n<p>\tMr. Ranjit Kumar then placed reliance on Clause (6) of the Minutes of<br \/>\nthe Meeting of the Respondent-Company dated 29.10.2003 in which there<br \/>\nwas a Resolution passed with regard to &#8216;Management Agreement&#8217;, which<br \/>\ninter alia reads as under:\n<\/p>\n<p>&#8220;6. Management Agreement<br \/>\nMr. Roger Shashoua proposed to grant a (sic) exclusive<br \/>\nManagement Agreement to Rodemadan India Ltd. to manage<br \/>\nthe upcoming expocentre on a minimum guarantee basis. The<br \/>\nway the Expocentre will have confirmed income from the<br \/>\nbeginning and will enjoy the worldwide experience of<br \/>\nRodemadan India Ltd. The Board members agreed to the<br \/>\nproposals, subject to statutory approvals.\n<\/p>\n<p>Resolved that the management contract with Rodemadan India<br \/>\nLtd. for the management of the centre be approved by all board<br \/>\nmembers present subject to statutory approvals from the<br \/>\nrespective authorities, if any.&#8221;\n<\/p>\n<p>\tThere is no dispute on this resolution. Admittedly, the Director of the<br \/>\nPetitioner-Company had attended this meeting and, in fact, it is pursuant to<br \/>\nthis resolution that the Management Agreement dated 29.10.2003 was<br \/>\nentered into between the Petitioner and the Respondent. Mr. Ranjit Kumar<br \/>\ncontended that the said resolution proved that the Management Contract was<br \/>\n&#8220;subject to statutory approval from the respective authorities, if any&#8221;.<br \/>\nAccording to him, Mr. Roger Shashoua is a Director of Rodemadan India<br \/>\nLimited (the Petitioner-Company) and another company, known as,<br \/>\nRodemadan Holdings Ltd., and also a shareholder in the Respondent-<br \/>\nCompany. He contends that Section 299 of the Companies Act, 1956<br \/>\ncontemplates that:\n<\/p>\n<p>&#8220;Every director of a company who is in any way, whether<br \/>\ndirectly or indirectly, concerned or interested in a contract or<br \/>\narrangement, or proposed contract or arrangement, entered into<br \/>\nor to be entered into, by or on behalf of the company, shall<br \/>\ndisclose the nature of his concern or interest at a meeting of the<br \/>\nBoard of directors&#8221;.\n<\/p>\n<p>Under Section 300, such a Director is precluded from taking any part<br \/>\nin the discussion of the Board of Directors nor allowed to vote with regard to<br \/>\na resolution touching upon such a contract. Learned counsel contended that<br \/>\nMr. Roger Shashoua was interested in the contract, and therefore, the<br \/>\nManagement Contract was null and void because an interested director had<br \/>\nvoted thereupon.\n<\/p>\n<p>\tTo say the least, the argument appears to be one of sheer desperation,<br \/>\nin my view. It is nobody&#8217;s case that Mr. Roger Shashoua is a party to the<br \/>\nManagement Agreement. The Management Agreement is between the<br \/>\nPetitioner-Company and the Respondent-Company. Merely because Mr.<br \/>\nRoger Shashoua happens to be a Director of the Petitioner-Company as well<br \/>\nas, a shareholder in the Respondent-Company, I do not think that the<br \/>\nprovisions of Sections 299 or 300 of the Companies Act were attracted to the<br \/>\nsituation, which required approval of the Government.\n<\/p>\n<p>\tThe next contention raised by Mr. Ranjit Kumar is that the Petitioner<br \/>\nis attempting to obtain specific performance when specific performance of<br \/>\nthe contract cannot be granted in arbitral proceedings. In fact, this contention<br \/>\nhas been squarely rejected by the judgment of this Court in Olympus<br \/>\nSuperstructures Pvt. Ltd.  v.  Meena Vijay Khetan and ors.\n<\/p>\n<p>\tFurther, it was urged that Clauses 8.0 and 8.1 of the Management<br \/>\nAgreement are mutually exclusive and, therefore, the relief for specific<br \/>\nperformance cannot be asked for and since no consideration had been paid<br \/>\nthe contract was void and unenforceable. In my view, these are not issues to<br \/>\nbe considered in a petition under Section 11(6) of the Act, as they can all be<br \/>\nraised during the arbitral proceedings.\n<\/p>\n<p>\tIn short, I am not satisfied that the arbitral agreement was vitiated on<br \/>\nany of the grounds averred by Mr. Ranjit Kumar. I am satisfied that there<br \/>\nexists a valid arbitration agreement which contemplates that that all disputes<br \/>\nbetween the parties under that agreement be referred to arbitration.\n<\/p>\n<p>\tFinally, it is contended that as recourse had been taken by the<br \/>\nPetitioner under Section 9 of the Act to obtain interim relief by moving the<br \/>\nDelhi High Court by their Original Petition OMP No. 98\/2005 dated<br \/>\n24.3.2005, by reason of Section 42 of the Act that court alone could have<br \/>\njurisdiction upon the arbitral tribunal. In my view, this contention has no<br \/>\nmerit as I have held earlier, neither the Chief Justice nor his designate under<br \/>\nSection 11(6) is a &#8220;court&#8221; as contemplated under the Act. Section 2(1)(e) of<br \/>\nthe Act defines the expression &#8220;court&#8221;. The bar of jurisdiction under Section<br \/>\n42 is only intended to apply to a &#8220;court&#8221; as defined in Section 2(1)(e). The<br \/>\nobjection, therefore, has no merit and is rejected.<br \/>\nThe situation is one of a dispute between the Petitioner, which is a<br \/>\nforeign company and the Respondent and is therefore, an &#8220;International<br \/>\nCommercial Arbitration&#8221; within the meaning of Section 2(1)(f) of the Act.<br \/>\nThere is a dispute between the parties where both parties are subject to an<br \/>\narbitration agreement. Further, the appointed arbitrators have failed to reach<br \/>\nan agreement upon a Chairperson\/ Presiding Arbitrator of the Arbitral<br \/>\nTribunal. Hence, I am satisfied that all the preliminary conditions specified<br \/>\nin Section 11(6) and Patel Engineering (supra) have been met.<br \/>\n\tIn the result, I allow the petition and appoint Justice Arun Kumar, a<br \/>\nretired Judge of the Supreme Court of India, as the Chairman\/ Presiding<br \/>\nArbitrator of the Arbitral Tribunal, subject to his consent and on such terms<br \/>\nas he fixes.\n<\/p>\n<p>\tThe petition is accordingly allowed with no order as to costs.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Supreme Court of India Rodemadan India Limited vs International Trade Expo Centre &#8230; on 17 April, 2006 Author: B Srikrishna Bench: B.N. Srikrishna CASE NO.: Arbitration Petition 25 of 2005 PETITIONER: Rodemadan India Limited RESPONDENT: International Trade Expo Centre Limited DATE OF JUDGMENT: 17\/04\/2006 BENCH: B.N. Srikrishna JUDGMENT: J U D G M E N [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[30],"tags":[],"class_list":["post-157581","post","type-post","status-publish","format-standard","hentry","category-supreme-court-of-india"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Rodemadan India Limited vs International Trade Expo Centre ... on 17 April, 2006 - Free Judgements of Supreme Court &amp; High Court | Legal India<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/judgments\/rodemadan-india-limited-vs-international-trade-expo-centre-on-17-april-2006\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Rodemadan India Limited vs International Trade Expo Centre ... on 17 April, 2006 - Free Judgements of Supreme Court &amp; 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