← Library
Madras High CourtArb O.P(COM.DIV.)/489/2025disposed of

M/S.Kaj Industries v. M/S.Origin Techserve Private Limited

2025-11-24Honourable Mr Justice N. Anand Venkatesh7 pages

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED: 24-11-2025

CORAM

THE HONOURABLE MR JUSTICE N. ANAND VENKATESH Arb O.P(COM.DIV.) No. 489 of 2025 M/s. Kaj Industries Rep by its Managing Partner K.A.Jayachandran, Sy.No.267 I lD- lG, 1J, KAJ INDUSTRIES, Gudiyatham Main Road, Latteri, Vellore Dist, Tamilnadu ..Petitioner(s) Vs M/s.Origin Techserve Private Limited Rep by its Managing Director, Mr.D.Muthukumar Old No.74, New No.124 3rd Floor, Sri Balaji Towers, GST Road, Guindy, Chennai-600032 ..Respondent(s) PRAYER Arbitration Original Petition filed under Section 11(6) of the Arbitration and Conciliation Act, 1996, to appoint a Sole Arbitrator to hear and decide the Arbitral dispute between the petitioner and the Respondent, arising out of the

Works contract dated 20.12.2023 and to direct the Respondent to pay costs. For Petitioner(s):

M/s.J Sathish Senthil Kumar For Respondent(s):

A.Narayanan

ORDER

This petition has been filed under Section 11(6) of the Arbitration and Conciliation Act, 1996, [hereinafter referred as 'the Act'] for appointment of sole Arbitrator to adjudicate the dispute between the parties arising out of Works contract dated 20.12.2023.

2.When the matter came up for hearing on 27.10.2025, this Court passed the following order:

The counsel appearing on either side submitted that an attempt could be made to resolve the dispute amicably, considering the nature of dispute between the parties.

2. In the light of the above submissions, the parties are

directed to be present before the Mediation Centre attached to this Court on 03.11.2025 at 11.30 a.m. The process of mediation shall commence immediately and the mediation report shall be filed before this Court on or before 24.11.2025.

3. Post this case on 24.11.2025 under the caption "for filing Mediation Report".

3.Pursuant to the above order, the parties were referred to the Mediation Centre and the parties were able to arrive at a compromise which was reduced to writing vide joint memo of compromise dated 17.11.2025. Recording this joint memo of compromise, the mediation report has been sent to the Court stating that the parties have reached a settlement and the mediation is completed. In the light of the above development, this Court proceeds to record the terms of the joint memo of compromise hereunder:

6. In full and final settlement of the dispute, the Respondent agrees to pay a sum of Rs.8,21,840/-excluding GST, to the Petitioner, and the Petitioner agrees. following terms: to accept the sum, subject to the a) The Petitioner will file the GST Return for the transactions covered in the dispute pay the GST due of Rs. 1,47,931.00/-to the GST

authorities and produce proof thereof to the Respondent on or before 10.12.2025.

b) The Respondent will thereafter pay to the Petitioner, (i) the agreed sum of Rs.8,21,840less TDS amount of (1) Rs. 16,437andoutstanding principle amount is Rs.8,05,403/-.

c) the GST amount of Rs. 1,47,931.00/- Total Net Amount 9,53,334/- d) The cheque(s) for the sums will be issued by the Respondent to the Petitioner on or before 10.12.2025.

e) The TDS deducted by the Respondent will be remitted by the Respondent to the credit of the Petitioner's PAN AAVFK4398Qby the Respondent and the remittance will be immediately informed to the Petitioner.

f) The Respondent will arrange to issue Gate Pass to the Petitioner to enter the premises of the ISTRAC, Bangalore and to collect and remove the Petitioner's unused steel martials lying over there on or before 31.12.2025, and will extend all assistance to the Petitioner to Collect/ Remove the materials. If there is any delay in providing the Gate Pass by the Respondent to the Petitioner the time fixed above shall stand extended, till providing of Gate Pass by the Respondent. g) The Petitioner will promptly complete the removal of the materials from the ISTRAC, Bangalore premises before 31-12-2025, subject to receiving pass before the said date.

7. By signing this Agreement, the Parties hereto state that they have no

further claims or demands against each otherwith respect to the disputes raised in the ArbO.P (Com.Div) No.489 Of 2025on the file of the Hon'ble Madras High Court and both parties agreed for passing of orders on the above terms.

4.The joint memo of compromise has been signed by both the parties and their respective counsel.

5.In the light of the above development, this petition is disposed of in terms of the memo of compromise dated 17.11.2025 and the memo of compromise shall form part of the common order. No costs. 24-11-2025 Index:Yes/No Speaking/Non-speaking order Internet:Yes KP

N.ANAND VENKATESH J.

kp Arb O.P(COM.DIV.) No.

24-11-2025