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2018 (4) TMI 781

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..... itration and Conciliation Act, 1996 (hereinafter referred to as 'the Act'), have been filed by the petitioner-Company as well as by the IBI Group for appointment of an Arbitrator to adjudicate the disputes that have arisen between the parties in connection with the contracts in question. 2) The petitioner-Company has filed two petitions for the appointment of Arbitrator and its parent company viz., IBI Group has also filed two petitions of the same nature. Since the point of consideration is same in all these four petitions, purpose would be served if we moot the case of either of the petition and would be disposed off by this common judgment. Arbitration Case No. 53 of 2016 3) The petitioner-Company is a multi-disciplinary company engag .....

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..... s at NH-24. The respondent-Company, vide letter dated 14.06.2010, accepted the said proposal. Pursuant thereto, a Contract Agreement dated 30.08.2010 was executed between the parties. The value of the Contract was mutually finalized at Rs. 1,55,20,700.00 in pursuance of the Contract Agreement. In total, the IBI group and the petitioner-Company had entered into 6 (six) separate contracts for the respective LSEL and REL Projects with the respondent-Company. 5) During completion of the projects, the respondent-Company defaulted in releasing the agreed payment to the petitioner-Company and the IBI Group. Though several verbal and written communication were exchanged between the parties to this effect, the respondent-Company could not release .....

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..... agreement between the parties to the petition under Section 11 of the Act and the existence of dispute(s) to be referred to Arbitrator is condition precedent for appointing an Arbitrator under Section 11 of the Act. It is also a well settled law that while deciding the question of appointment of Arbitrator, court has not to touch the merits of the case as it may cause prejudice to the case of the parties. The scope under Section 11(6) read with Section 11(9) is very limited to the extent of appointment of Arbitrator. This Court has to see whether there exists an Arbitration Agreement between the parties and if the answer is affirmative then whether the petitioner has made out a case for the appointment of Arbitrator. 8) It is worth mention .....

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..... able to act for any reason or his award being set aside by the court for any reason the parties will mutually agree another to act as Arbitrator. (Emphasis supplied by us)" 9) On a careful perusal of Article-1 as well as Clause 3.14 of the Contract dated 30.08.2010 along with the Letter of Indent dated 14.06.2010, it is evident that the letter dated 14.06.2010 is a part of the Contract and it shall be read and construed as an integral part of the Contract. Therefore, the contention of the respondent-Company that there does not exist any arbitration agreement between the parties is not sustainable in the eyes of law. We are of the considered view that Arbitration clause exists in the Contract and we hold this point in favour of the petiti .....

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