M/s Honour Secure Sense Security Private Limited vs Navyoga Engineering Company Limited.

Manoj Kumar Gupta, CJ

The present application has been filed under Section 11(6) of the Arbitration and Conciliation Act, 1996 for appointment of an Arbitrator in terms of Clause No. 25 of the Work Order dated 21.12.2019. Clause 25 reads as follows :-

"25) Dispute, if any, will first be resolved by muual discussion and if no amicable settlement is arrived an the dispute may be referred to competent court for Arbitration. The Arbitration proceedings shall be governed by Indian Arbitration and Conciliation Act 1996 (with latest amendments)."

The respondent has filed counter affidavit, in which the existence of the arbitration clause in the work order (contract) is not disputed. However, certain pleas have been raised in the counter affidavit to justify the action taken by the respondent in terminating the contract. The defense on merits is not to be considered in the present application.

The respondent has taken another plea to the effect that the application of the applicant, under Section 9 of the Arbitration and Conciliation Act, 1996, filed before the Commercial Court, Dehradun was dismissed on 31.01.2025. The said plea also would not be an impediment in way of the applicant in getting the Arbitral Tribunal constituted for adjudication of the disputes.

The claim is stated to be of the value of around Rs. 22 lakhs. Counsel for the parties have made a joint statement that the Court may appoint any arbitrator at Dehradun, as it would be convenient to the parties.

In view of the above, the application is allowed. The Court proposes name of Shri C.P. Bijalwan, (Retd.) District & Sessions Judge, residing at Dehradun, as arbitrator to decide the disputes and differences between the parties. Let his consent and necessary disclosures, as per provisions of Section 11(8), be obtained by the Office within four weeks.

All pending applications stand disposed of accordingly.