LAWS(DLH)-2023-11-8

ANR INTERNATIONAL PRIVATE LIMITED Vs. MAHAVIR SINGHAL

Decided On November 03, 2023
Anr International Private Limited Appellant
V/S
Mahavir Singhal Respondents

JUDGEMENT

(1.) The present appeal has been filed challenging an order dated June 02, 2023 passed by the District Judge, Commercial Court-01, Shahdara, Karkardooma, Delhi, whereby an application under Sec. 8 of the Arbitration and Conciliation Act, 1996 ('Act of 1996', hereinafter) filed by the defendant No.1 in suit bearing CS(COMM.) No. 541/2022, has been dismissed.

(2.) The respondent No.1 ('respondent', hereinafter) in this appeal had filed the suit for recovery of a sum of Rs.59,83,712.00 along with pendente lite interest @ 18% per annum before the learned District Judge. The respondent served summons on the appellant on January 19, 2023. The appellant, before filing the Written Statement, filed an application under Sec. 8 of the Act of 1996 on April 28, 2023 i.e., within a period of 120 days, stating that the tax invoices filed and relied upon by the respondent in support of its suit contains an arbitration clause, and as such the suit is not maintainable and is liable to be dismissed. The learned District Judge dismissed the application under Sec. 8 of the Act of 1996 vide order dated June 02, 2023.

(3.) Mr. Samrat Nigam, learned counsel for the appellant would submit that the learned District Judge has taken a hyper technical view in deciding the application under Sec. 8 of the Act of 1996, and has failed to appreciate that (i) there is a valid arbitration agreement between the parties; (ii) action should be brought before a judicial authority and that action should be the subject matter of the arbitration (iii) either of the parties or any person related to the dispute can invoke the arbitration clause or agreement before the date of submitting their first statement on the substance of the dispute before the judicial authority (iv) the application of the party to refer the case to arbitration should be filed with the original arbitration agreement or its duly certified copy.