{"id":3601,"date":"2009-05-08T00:00:00","date_gmt":"2009-05-07T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/ms-a-b-singh-vs-central-coalfields-ltd-ors-on-8-may-2009"},"modified":"2017-09-26T04:19:03","modified_gmt":"2017-09-25T22:49:03","slug":"ms-a-b-singh-vs-central-coalfields-ltd-ors-on-8-may-2009","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/ms-a-b-singh-vs-central-coalfields-ltd-ors-on-8-may-2009","title":{"rendered":"M\/S. A.B.Singh vs Central Coalfields Ltd. & Ors on 8 May, 2009"},"content":{"rendered":"
Jharkhand High Court<\/div>\n
M\/S. A.B.Singh vs Central Coalfields Ltd. & Ors on 8 May, 2009<\/div>\n
                        IN THE HIGH COURT OF JHARKHAND, RANCHI\n                                 A.A No. 37       OF 2007\n                                          With\n                                 A.A No. 38       OF 2007\n                                          With\n                                 A.A No. 39       OF 2007\n                                          -------\n\n       M\/s. A.B.Singh                                         Petitioner in all the cases\n\n                                          Versus\n       Central Coalfields Ltd. & Ors.                         Respondents in all the cases\n                                                   -------\n\n       CORAM;                               HON'BLE THE CHIEF JUSTICE\n\n\n       For the Appellant\/Petitioner               M\/s.B.Poddar, P.Poddar, D.Sinha\n\n       For the Respondent\/Opp. Party                                 Mr.A.K.Das\n\n                                                  ---------\n\n\n14\/ 8.5.2009<\/pre>\n
         In all the three applications, a common question has been raised as<\/p>\n
       to whether an Arbitrator can be appointed for adjudication of a dispute beyond the<\/p>\n
       contractual period under section 11(6) of the Arbitration & Conciliation Act, 1996<\/p>\n
       (hereinafter referred to as the Act) in absence of existence of any contractual<\/p>\n
       agreement between the petitioner and the respondents.\n<\/p>\n
                     These applications have been filed by the petitioner-firm for<\/p>\n
       appointment of an Arbitrator under section 11(6) of the Act on the ground that<\/p>\n
       there is a bona-fide dispute between the petitioner-firm and the respondent-<\/p>\n
       company, i.e. Central Coalfields Ltd., since the petitioner had received contracts<\/p>\n
       for transportation of coal, for which three contracts had been executed between<\/p>\n
       the parties on different dates. It was stated that there is a clause in the agreement<\/p>\n
       that in the event of existence of a dispute, the respondents shall appoint an<\/p>\n
       Arbitrator to adjudicate the dispute and the award passed by him shall be treated<\/p>\n
       as final. It was contended that as the respondent-CCL had failed to appoint an<\/p>\n
       Arbitrator, although a dispute in regard to the claim of payment had been raised at<\/p>\n
       the instance of the petitioner, this Court, in view of section 11(6) of the Act, ought<\/p>\n
       to appoint an Arbitrator for adjudication of the dispute.\n<\/p>\n
               Countering the submission of the counsel for the petitioner, it was<\/p>\n
submitted by the counsel for the respondent-CCL that the petitioner has not made<\/p>\n
out a case for appointment of an Arbitrator as the contractual relationship of the<\/p>\n
petitioner-firm and the respondent-company was only for a period from 1.8.2000 to<\/p>\n
31.7.2001 in A.A     No.37\/2007, from 1.4.2002 to 30.6.2002 in A.A           No.38\/2007<\/p>\n
(only for a period of three months) and from 23.7.2000 to 22.7.2001 in A.A<\/p>\n
No.39\/2007 and for this purpose, three different contracts had been executed<\/p>\n
between the parties. However, the petitioner admittedly has received the entire<\/p>\n
payment for these periods as per his own averment, which is to the following<\/p>\n
effect:-\n<\/p>\n
              “4(ix) 100% payment was made for the transportation in
\n                    contract period and 80% payment was made for the
\n                    period beyond the contract period and 20% payment
\n                    was not released to the petitioner”\n<\/p><\/blockquote>\n
                              (From rejoinder to counter in AA No.37\/2007)<\/p>\n
Admittedly the petitioner has already received payment for the contractual periods<\/p>\n
involved in A.A No.38 \/2007 and A.A No.39 \/2007.<\/p><\/blockquote>\n
                   Relying on this averments of the petitioner, it was submitted that<\/p>\n
100% payment for the contract period involved in three applications has already<\/p>\n
been received by the petitioner and thus, nothing remains to be paid under the<\/p>\n
contractual obligation. It was further submitted that since the entire payment have<\/p>\n
been received by the petitioner, a case for referring the dispute to the Arbitrator or<\/p>\n
for appointing an Arbitrator is not made out at all.\n<\/p>\n
                    On consideration of the aforesaid submission and counter-<\/p>\n
submission of the counsel for the parties, I find substance in the plea of the<\/p>\n
counsel for the respondent-CCL, who has rightly stated that the claim for<\/p>\n
appointment of an Arbitrator even under section 11(6) read with section 11(8) of<\/p>\n
the Act flows only from the contract which had been entered into between the<\/p>\n
petitioner and the respondent-CCL, but the said contracts were only for a limited<\/p>\n
period as mentioned hereinabove and the petitioner having received the entire<\/p>\n
payment for these periods, the claim for appointment of an Arbitrator is not made<\/p>\n
out. It cannot be disputed that appointment of an Arbitrator has to be made under<\/p>\n
section 11(6) of the Act only if, in terms of the agreement, one of the contracting
\n parties has failed to appoint an Arbitrator in the event of existence of a dispute and<\/p>\n
on failure to appoint an Arbitrator, the jurisdiction of the Court comes into play, in<\/p>\n
so far as appointment of Arbitrator by the Court is concerned. Since the petitioner,<\/p>\n
as per his own averment, has received the entire payment for the contractual<\/p>\n
period, obviously the clause for appointment of an Arbitrator comes to a complete<\/p>\n
halt and there is no occasion for this Court to appoint an Arbitrator in terms of the<\/p>\n
clause incorporated in the contractual agreement. If the petitioner has any claim for<\/p>\n
additional payment beyond the terms and period of the contract, he will have to<\/p>\n
take recourse to the civil remedy that may be available to him under the law.<\/p>\n
              In so far as the prayer to appoint an Arbitrator is concerned, the<\/p>\n
same cannot be entertained as there is no contractual relationship existing<\/p>\n
between the petitioner and the respondent-CCL by virtue of any agreement or<\/p>\n
contract. The Court, therefore, cannot mechanically appoint an Arbitrator in<\/p>\n
absence of any agreement or contractual relationship, which was reduced into a<\/p>\n
document of contract or agreement. In absence of any contractual agreement<\/p>\n
between the parties beyond 31.7.2001 in A.A         No.37\/2007, 30.6.2002 in A.A<\/p>\n
No.38\/2007 and 22.7.2001 in A.A No.39\/2007, the matter cannot be entertained<\/p>\n
for the reasons stated hereinbefore.\n<\/p>\n
              All the three applications, therefore, are dismissed.\n<\/p>\n<\/p>\n
                            (Gyan Sudha Misra, C.J)<\/p>\n
dey\n <\/p>\n","protected":false},"excerpt":{"rendered":"
Jharkhand High Court M\/S. A.B.Singh vs Central Coalfields Ltd. & Ors on 8 May, 2009 IN THE HIGH COURT OF JHARKHAND, RANCHI A.A No. 37 OF 2007 With A.A No. 38 OF 2007 With A.A No. 39 OF 2007 ——- M\/s. A.B.Singh Petitioner in all the cases Versus Central Coalfields Ltd. & Ors. Respondents in […]<\/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":[8,18],"tags":[],"class_list":["post-3601","post","type-post","status-publish","format-standard","hentry","category-high-court","category-jharkhand-high-court"],"yoast_head":"\nM\/S. 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