High Court of DelhiARB.P./1793/2025

Union Of India v. M/S Food King Impex Pvt Ltd

2025-12-18Hon'Ble Mr. Justice Jasmeet Singh9 pages

$~12 *

IN THE HIGH COURT OF DELHI AT NEW DELHI

+ ARB.P. 1793/2025 UNION OF INDIA .....Petitioner Through:

Ms. Arunima Dwivedi, CGSC versus M/S FOOD KING IMPEX PVT LTD .....Respondent Through:

Mr Peeyoosh Kalra, Mr Yashwant Singh Baghel, Ms Meghna Nair, Advs.

CORAM:

HON'BLE MR. JUSTICE JASMEET SINGH

O R D E R

% 18.12.2025 I.A. 26690/2025 1.

This is an application Section 151 CPC,1908 on behalf of the petitioner seeking condonation of delay in re-filing the main petition. 2.

For the reasons stated in the application, issue notice. 3.

Mr. Kalra, learned counsel accepts notice on behalf of the respondent and has no objection to the application being allowed. 4.

For the said reasons, the application is allowed and the delay of 43 days in refiling the present petition is condoned. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.

The application is disposed of in aforesaid terms. ARB.P. 1793/2025 6.

This is a petition filed under Section 11(6) of the Arbitration and Conciliation Act, 1996 seeking appointment of an Arbitrator for adjudication of disputes between the parties. 7.

The brief facts are that the respondent being the successful bidder was awarded a tender vide letter of Acceptance dated 28.02.2023 for supply of 6 metric tonnes of dehydrated peas. The supplies made by the petitioner were rejected by the competent authority. 8.

The tender conditions contains an arbitration clause being Clause No. 14 which reads as under:- "14. Arbitration. All disputes· of differences arising out of or in connection with the Contract shall be settled in consonance with the provisions of Arbitration & Conciliation Act 1996 read in conjunction with Amendment Act 2015 and any other statutory law, as promulgated from time to time, in a manner outlined at Part-Ill and other terms and conditions of this RFP. Jurisdiction of Arbitration will be at Delhi (Contract Conclusion place). All disputes or differences arising out of or in connection with the Contract shall be settled by bilateral discussions. Any dispute, disagreement or question arising out of or relating to the Contract or relating to construction or performance, which cannot be settled amicably, may be resolved through arbitration. The standard clause of arbitration is as per Forms DPM-7, DPM-8 and DPM-9 (Available on MoD The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.

website and can be provided on request)."

Mr. Kalra, learned counsel for the respondent, has not filed a reply but states that there is no Section 21 notice invoking arbitration. 10.

However, I am unable to agree with the said submission. 11.

Letter dated 28.08.2024 for termination of the said Contract reads as under:- The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.

The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.

12.

The letter dated 23.10.2024 reads as under:- The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.

13.

A perusal of both the letters shows that the petitioner has enumerated the disputes between the parties and has also evinced its intention to initiate arbitration proceedings in case the demands are not met. 14.

To my mind, the same is sufficient compliance of notice invoking arbitration.

15.

This Court in The Prasar Bharati v. Visual Technologies India Pvt. Ltd. passed in ARB.P. 558/2023, has held that notice invoking arbitration does not require any fixed format. The relevant paragraphs reads as under:

"8. Section 21 of the 1996 Act reads as under: "21. Commencement of arbitral proceedings.-Unless otherwise agreed by the parties, the arbitral proceedings in respect of a particular dispute commence on the date on which a request for that dispute to be referred to arbitration is received by the respondent."

9. There is no fixed format of notice invoking arbitration. The requirement in law is that the party invoking arbitration must highlight the disputes between the parties and make a request that in case the disputes are not resolved, arbitration proceedings shall be commenced. The intention to invoke the redressal of disputes through the arbitral process must clearly spelt out in the notice. Hence in my view, the notice under Section 21 of 1996 Act must clearly state as follows:- a. The dispute between the parties.

b. The demand to resolve the disputes as per the envisaged arbitration clause.

The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.

c. In case, the disputes are not resolved the intention to resort to the arbitral process.

d. The notice must be sent to the respondent." 16.

The same was also reiterated in National Research Development Corpn. v. Ardee Hi-Tech (P) Ltd., 2025 SCC OnLine Del 3659. 17.

To my mind, the above letters meet the aforesaid parameters, as they clearly indicate the intent of the petitioner that, in the event the amount is not paid, the matter shall be referred to the Arbitrator. 18.

I am satisfied that there exists a valid arbitration clause and there are disputes between the parties which need to be adjudicated through the arbitral mechanism, and that the petitioner has already conveyed its intent to arbitrate the said disputes.

19.

For the said reasons, the petition is allowed and the following directions are issued:- i) Mr. Rohan Yadav, Advocate (Mob. No. 9871574138) is appointed as a Sole Arbitrator to adjudicate the disputes between the parties.

ii) The arbitration will be held under the aegis and rules of the Delhi International Arbitration Centre, Delhi High Court, Sher Shah Road, New Delhi (hereinafter, referred to as the 'DIAC').

iii) The remuneration of the learned Arbitrator shall be in terms of DIAC (Administrative Cost and Arbitrators' Fees) Rules, 2018.

iv) The learned Arbitrator is requested to furnish a declaration in terms of Section 12 of the Act prior to entering into the The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.

reference.

v) It is made clear that all the rights and contentions of the parties, including as to the arbitrability of any of the claim, any other preliminary objection, as well as claims/counter-claims and merits of the dispute of either of the parties, are left open for adjudication by the learned arbitrator.

vi) The parties shall approach the learned Arbitrator within two weeks from today.

20.

The present petition is disposed of in the aforesaid terms. JASMEET SINGH, J DECEMBER 18, 2025 / (MS) The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.