Home Case Index All Cases Indian Laws Indian Laws + HC Indian Laws - 2014 (6) TMI HC This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2014 (6) TMI 208 - BOMBAY HIGH COURTLegality of Arbitration award - Dispute as to ownership of property - Enhancement in rent - Vacating the premises - Appointment of arbitrator - Held that:- Respondent is not the original owner of the property. The Petitioner was in exclusive possession of the property subject to “rent/licence fee” which was also enhanced from time to time. The learned Arbitrator, based upon the alleged occupation, even after termination of the agreement, passed the Award for recovery of arrears of occupation charges/rent. The relevant ingredients as required and necessary to hold that there exists relationship of a licensor and/or licensee also apply to the present case. The submission that it was warehousing agency agreement that itself, in my view, is not sufficient to overlook the case of the Petitioner. The learned Arbitrator, therefore, in view of above settled provisions of law as laid down by the Full Bench of this Court ought not to have proceeded with the matter merely because the possession was handed over during the pendency of the arbitration proceedings. The orders passed by the Court protecting the possession based upon the Respondent's statement and the consent order so recorded, ought to have taken note of before proceeding with the matter in such fashion. Arbitrator has no jurisdiction to entertain and/or decide the dispute so raised/referred by the parties, based upon the alleged arbitration clause in the agreement between the parties. The dispute so referred itself was not arbitrable. - Therefore, there is no question of invoking the principle of “estoppal” and/or “waiver” by the parties. The Court, under Section 34 of the Arbitration Act, is therefore required to adjudicate and decide this issue as it goes to the root of the matter. The Petitioner has raised those grounds in the petition. Therefore, in view of the reasons so recorded above, I am inclined to observe that the sole Arbitrator has no jurisdiction to try and entertain the reference and as the same was beyond its competence and jurisdiction. Therefore, I am inclined to quash and set aside the award and also the consequential orders/reliefs so granted. This order, in no way, deny the rights of the Respondent to invoke the appropriate proceedings in accordance with law - Decided in favour of appellants.
|