LAWS(DLH)-2023-11-195

MADHU SUDAN SHARMA Vs. OMAXE LTD

Decided On November 06, 2023
MADHU SUDAN SHARMA Appellant
V/S
Omaxe Ltd Respondents

JUDGEMENT

(1.) This appeal, under Sec. 96 of the Code of Civil Procedure, 1908 (CPC) assails judgment and decree dtd. 15/7/2019, passed by thelearned Additional District Judge ("the learned ADJ"), whereby Suit CS 10977/2016, instituted by the respondent against the appellants, stands decreed in favour of the respondent. Said suit was instituted by the respondent against the appellants under Order XXXVII of the CPC. The appellants, as the defendants in the suit, questioned the maintainability of the suit in the face of an arbitration agreement having been incorporated into the contract between the appellants and the respondent, relying, for the purpose, on Sec. 8

(2.) The sole ground urged by the appellants, through Mr. J. Sai Deepak, learned Counsel, is that the learned ADJ erred in rejecting the appellants' objection. The appellants would seek to contend that the objection was required to be accepted and the dispute between the parties referred to arbitration.

(3.) Two questions arise for determination in the present case. Both pertain to Sec. 8 of the 1996 Act. The first is whether the defendants in a suit, who seek to invoke Sec. 8(1), have to do so prior to filing the written statement, as held by the learned ADJ. The second is whether a mere objection to the maintainability of the suit, advanced by the defendants in the written statement and predicated on Sec. 8 and the existence of an arbitration agreement between the parties, would suffice, or whether a formal application, seeking reference of the dispute to arbitration, is necessary.