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High Court for State of TelanganaARBAPPL/82/2015allowed no costs

Sri. Vucha Rama Vara Prasad, v. Sri. Javed Razack,

2020-12-28A.Rajasheker Reddy4 pages

IN THE HIGH COURT FOR THE STATE OF TELANGANA

AT HYDERABAD TVIONDAY, THE TWENTY EIGHTH DAY OF DECEIMBER TWO THOUSAND AND TWENTY PRESENT THE HONOURABLE SRI JUSTICE A. RAJASHEKER REDDY ARBITRATI ON APPLICATION No.82 0F 2015 Between:

1. Sri Vucha Rama Vara Prasad, S/o Late Sri V' Y Nadhaji' Aged: 41 years' Occ: Pvt. Service,

2. Smt V. Anupama Rao, W/o. Sri Vucha Rama Vara Prasad' Aged: 38 years' Occ: Private Service, Both are R/o. Plot No. 28, Tirumala Nagar colony, Meerpet, Moulali, Hyderabad - "'Petitioners/APPlicants AND

1. Sri Javed Razack, s/o. sri Abdul Razack, Aged about: 61 years, occ: Business, nlo-rl. ftr-o. O-r-zA's, Crti Ro.r' Padmarao Nagar' Secunderabad'

2. M/s. Rock Wood Steel, represented by its partner Sri Lan - Saamanth'

- Si;. Sri. t-. x. Nataralin, Aged about: 51 years' Occ: Business partner'

3. sri Vasant Kulkarni, S/o. Sri Manohar Rao Kulkarni, Aged about: 50 years' Occ: Buginess Partner'

4. Sri Sunil J. Sachdev, S/o. Sri Jayantilal L. Sachdev, Aged: 55 years, Occ: Business Partner, Respondents 2to 4 are R/o H No' 3-6-175, Hyderguda' Hyderabad' Respondent No.4 is dismissed vide Court Order dated 28'11'2020' OfficialaddressofRespondents2to4isatH'No'4-4-932111o3'Kanda^Swamy Lane, opp. t-l"nuran Vyiyi,iirl schoot' Sultan Bazaar' Hyderabad - 5000s5' ...ResPondents ArbitrationApplicationunderSectionll(2)and(6)oftheArbitrationand Conciliation Act, 1996, and Scheme for Appointment of Arbitrators 2000' praying that forthereasonsstatedintheaffidavitfiledtherewiththeHighCourtmaybepleased: l. To appoint an arbitrator to adjudicate the claims and disputes between the Petitioners/Applicants and Respondents'

ll. To Award the costs of Application The Petition coming on for hearing, upon perusing the Application and affidavit filed inSuppodthereofanduponhearingtheargumentsofSriD.tvladhavaRao,Advocate for the Applicants and the Respondent Nos' 1 to 3 not appeared in Person or represented bY Advocate.

The Court made the following ORDER:

HON'BLE SRI JUSTICE A.RAJASHEKER REDDY Arbitration Application No.82 of 20't5 ORDER:

This application is filed under Section 11(2) & (6) of the Arbitration and Conciliation Act, 1996 r/w Scheme for Appointment of Arbitrators, I 2006, seeking to appoint an arbitrator to adjudicate the claims and disputes i I between the applicants and respondents.

2. The brief facts of the case are that the applicants had entered into an agreement of sale with respondent Nos.2 to 4 on 09.01.2009, with respect to petition schedule property, for consideration of Rs.46,45,000/- and they paid 90% of sale consideration to respondent Nos.2 and 3, but as the respondents have neither completed the flat in all aspects nor registered the same in their favour, there were exchange of notices between the parties, but in spite of.the same, respondent Nos.2 and 3 have not executed the registered sale deed in favour of the applicants and as such, the applicants got issued notice dated 06.06.2015 invoking arbitration clause. The respondents have not filed any reply to the said notice. Hence, the present application is filed.

3.

Heard learned counsel for the applicants. As notices sent to respondent Nos.1 to 3 at the address mentioned in the sale agreement were returned with an endorsement that'no such person', the notices were i I deemed to have been served upon them. Since respondent No.4 died I during pendency of the present application, the Arbitration Application was dismissed against him on 28.1 1.2020.

4. The sale agreement dated 09.01.2009 contains arbitration clause-28, which reads as under;

"All disputes under this Agreement shall be referred to arbitration of one or more persons and the Award of arbitrator shall be final and binding

ARR, J Arb.Appl.No.82 of 2015 over all the parties/all disputes hereunder, shall be subject to the jurisdiction of the Courts of Hyderabad".

5.

Learned counsel for the applicants submits that the applicants have invoked arbitration clause by issuing notice dated 06.06.2015, to respondent Nos.1 to 3 at the address given by them in the sale agreement, but said notices were returned with an endorsement that "no such person'. ln view of same, notices deemed to have been served upon them. He also submits that one of the purchasers from respondent No.2 filed Arbitration Application No.19 of 2014 and the same was allowed on 06.06.2014, nominating the arbitrator.

6.

ln view of the fact that the existence of arbitration clause is not i l disputed by the respondents by filing any reply to the arbitration notice I i I dated 06.06.2015, and notices taken to respondents in this application on I the address given in sale agreement were returned with endorsement that 'no such person'as such deemed to be served, which shows existence of arbitration clause is not disputed, as such the Arbitration Application needs to be allowed and the same is accordingly allowed, nominating Sri G. Gopala Krishna Murthy, Retired District Judge, to arbitrate on the disputes between the applicants and respondent Nos.1 to 3.

7.

As a sequel thereto, miscellaneous applications, if any, pending in the Arbitration Application shall stand closed. SD/- K. GANGADHARA RAO JOINT REGISTRAR ,TRUE COPY'

lra'

SECTION OFFICER To, Sri G. Gopala Krishna Murthy, Retired District Judge, H.No 3-4-75611 , Flat No 102, Sai Raghavendra Residency, Barkatpura, Hyderabad - 500067' (Along with Material Papers) (Special Messenger) One CC to Sri D. Madhava Rao, Advocate [OPUCI Two,,CD Copies IVP

HIGH COURT DATED:2811212020 HES ae .( co 2 3 ,l/rN * * ,1).;17

ORDER

ARB.APPL.No.82 of 2015 ALLOWING THE ARBITRATION APPLICATION \I)'9r'l , )k aa\"r\"o'-t