LAWS(KAR)-2009-8-54

PANKAJ MOHAN ASSOCIATES Vs. SOUTH WESTERN RAILWAY

Decided On August 12, 2009
PANKAJ MOHAN ASSOCIATES, DELHI Appellant
V/S
SOUTH WESTERN RAILWAY, HUBLI Respondents

JUDGEMENT

(1.) THIS appeal is directed against the order dated 18.02.09 in Arbitration Application No. 1/09 passed by the Prl. District Judge, Dharwad dismissing the petition filed under Section 9 of the Arbitration and Conciliation Act, 1996 (for short, the Act).

(2.) APPELLANT is a partnership firm having its head office at Delhi. The appellant entered into an agreement with the respondents on 25.10.07 for leasing of parcel space by Train No.2627/28 (Karnataka Express) plying between Bangalore-New Delhi-Bangalore. The period of lease is for three years commencing from 08.06.2007. The agreement contains as many as 20 paras governing the transaction between the parties.

(3.) PER contra, Sri Andanimath, learned advocate for the respondents support the impugned order. He contends that appellant is not a registered firm and therefore, it is not entitled to maintain the petition before the District Judge and this Court. In case of breach of terms of contract, the only remedy available to the appellant is to claim damages and not to insist upon the specific performance of contract. Since the arbitrator is appointed at the instance of respondents in relation to the controversy between the parties, the Civil Court cannot entertain the petition under Section 9 of the Arbitration Act. Reliance is placed on the following decisions: 1. 1991 (1) SCC 533 (Indian Oil Corporation Ltd and Another Vs. R. Amritsat Gas Service) ' 2. AIR 1971 Raj 292 (Ramachandra Tanwar Vs. Ram Rakhmal) 3. AIR 2002 Bom 420 (Oil & Natural Gas Corporation Ltd Vs. M/s Streamline Shipping Co Pvt Ltd) 4. AIR 2005 Orissa 113 (Orissa Management & Minerals Pvt Ltd Vs. Adhunik Steels Ltd) 5. AIR 2001 SC 1462 (Her Highness Maharani Shantidevi P. Gaikwad Vs. Savjibhai Haribhal Patel and Others) 6. 2006 SAR (Civil) 562 (Seena Arshad Zaheer & Ors Vs. Municipal Corporation of Greater Mumbai & Ors) 7. AIR 1974 SC 1126 (Smt. Gangubai Vs. Vijay Kumar & Ors)