Vedananda Murthy vs Zilla Panchayath District Support Unit

S. Abdul Nazeer, J.—The petitioner has filed this Civil Miscellaneous Petition u/s 11(6) of the Arbitration and Conciliation Act 1996, for the resolution of dispute which has arisen in, relation to the Contract for Consultants'' Services as per Annexure-A dated 29.12.2010.

The petitioner is a Civil Engineer/Contractor It is contended that he has entered into a contract with the respondent as per Annexure-A on 29.12.2010 for providing technical and social support to the project, namely, Multi Village Water Supply Scheme. It was agreed that the respondent shall pay a total contract value of Rs. 65,00,000/- and payment was to be made as per the milestones, in installments. It is further contended that the agreed contract was to be commenced from 29.12.2010 and continue till 14.09.2012 or for any other period as agreed. The petitioner has performed his part of the obligation under the contract. He has incurred a total expenditure of Rs. 74,68,240/-. He has furnished final statement of account dated 09.02.2013 as per Annexure-D to the respondent with a request to pay the outstanding amount due to him. However, the respondent has failed to pay the said amount. Therefore, the petitioner has issued a notice as per Annexure-E dated 28.02.2013 for appointment of an arbitrator for the resolution of the dispute. The respondent has not sent any reply to the said notice. Therefore, the petitioner has filed this civil miscellaneous petition for the aforesaid relief''s.

Though the respondent is served, it has remained un-represented.

It is clear from the materials on record that the parties have entered into an agreement, ''Contract for Consultants'' Services'' as per Annexure-A dated 29.12.2010. The contact contains an arbitration Clause which is as under:-

"Dispute Resolution: Any dispute arising out of this Contract, which cannot be amicably settled between the parties, shall be referred to adjudication/arbitration in accordance with the laws of the Client''s country."

It is also clear that the disputes have arisen between the parties in relation to the aforesaid agreement. Therefore, it is just and proper to appoint an arbitrator to resolve the dispute between the parties.

In the result, civil miscellaneous petition succeeds and it is accordingly allowed-in-part. Sri N.S. Dafedar, retired District Judge is requested to enter upon the reference and arbitrate over the dispute and conduct arbitration proceedings at Arbitration Centre in terms of the Arbitration Centre-Karnataka (Domestic and International) Rules, 2012. No costs.

Registry is directed to send a copy of this order to the Arbitration Centre, Bangalore, forthwith.