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2009 (5) TMI 976 - HC - Indian Laws

Issues involved:
The judgment involves the invocation of Section 9 of the Arbitration and Conciliation Act, 1996 for seeking an interim relief of injunction against the respondents regarding a termination letter.

Details of the judgment:

Issue 1: Invocation of Section 9 of the Arbitration Act
The Petitioner invoked Section 9 of the Arbitration Act seeking an interim relief of injunction against the respondents regarding a termination letter dated 13.04.2009. The contract in question was for the construction of a carriageway on a National Highway project in Tamil Nadu. Disputes arose due to delays in handing over land and other related aspects. Despite attempts to settle disputes through correspondence, no resolution was reached.

Issue 2: Consideration of Termination Notice
The Court considered the termination notice, the clauses of the agreements, and the parties' submissions. It noted the disputes between the parties, including delays and the invocation of force majeure clause. The Court emphasized that the merit of the disputes should be examined in detail by the Arbitral Tribunal, as it involves a commercial contract where parties must decide and take appropriate actions.

Issue 3: Rejection of Interim Relief
The Court rejected the petitioner's plea for an interim injunction, stating that the respondents, as the decision-makers, had the right to terminate the contract based on available material. The Court highlighted the importance of completing the project within stipulated time and the need for detailed inquiry and trial to resolve the disputes. It emphasized that the petitioner could seek compensation or damages through arbitration but was not entitled to the relief of injunction as requested.

In conclusion, the Court rejected the ad-interim relief sought by the petitioner and scheduled the matter for further proceedings on a later date.

 

 

 

 

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