J KIMATRAI Vs. K D INTERNATIONAL

JUDGEMENT

(1.) This appeal seeks to challenge the judgment dated 30.04.1993 of the Additional District Judge, Delhi in Suit No.84/91 whereby the learned Judge has set aside the award holding that there was no agreement for referring the matter to arbitration and, therefore, the arbitrator had no jurisdiction to proceed with the reference.

(2.) Nobody appears for the respondent. With the assistance of learned counsel for the appellant, I have gone through the record of the case.

(3.) Facts of the case are that the appellant/ claimant is a partnership concern supplying fabric to the respondent on credit did so vide Bill No. 5155 dated 6.10.1989 and 5196 dated 16.10.1989 for a sum of Rs.47,897/50 and Rs.21,101/50 respectively. The payment was to be made by the respondent periodically. However, there was a default and the appellant issued a notice dated 26.2.1990, Exhibit R-l seeking balance payment of Rs.35,000/-. Since the respondent did not comply with the demand notice the appellant moved the Delhi Hindustani Mercantile Association of which the appellant was a member. The claim was made in accordance with the Bills which stipulated that the fabric was sold subject to the conditions therein, namely, that the disputes shall be referred to the Delhi Hindustani Mercantile Association. Upon a claim being filed with the Delhi Hindustani Mercantile Association, the matter was referred to arbitration. Statement of claim was filed and Shri Subhash Jindal the arbitrator proceeded with the reference by issuing notice to the respondents to appear before him and take part in the proceedings. Respondents did not appear before the arbitrator. The arbitrator awarded a sum of Rs.26,998/75 together with interest of Rs.4,581/- as also expenses. Total being Rs/31,742/-.