NEHRU PLACE HOTEL LTD Vs. DELHI DEVELOPMENT AUTHORITY

JUDGEMENT

(1.) This appeal arises against the order passed by the learned Single Judge on an application under Section 34 of the Arbitration Act for stay of the suit filed by the appellant-plaintiff against the defendant-DDA.

(2.) After taking into account the pleas raised by both the parties and the fact that an arbitration agreement had existed, in our view, interests of both the parties would be best served by appointment of an Arbitrator as per Arbitration Agreement. It is contended by the learned counsel for the respondent that the Arbitration clause requires the Vice Chairman to appoint an Arbitrator. But since the authority failed to appoint an Arbitrator, we are of the opinion that the court should now appoint the Arbitrator.

(3.) We, therefore, appoint Shri Prem Kumar, Rtd. Additional District Judge, Delhi as an Arbitrator to decide the disputes between the parties. The fees of the Arbitrator is fixed at Rs.75,000/- (Rupees Seventy Five Thousand) plus expenses, which shall be borne by the appellant. The award shall be passed within four months from the date of first hearing before the Arbitrator, which we fix for 1st February, 2006 at 4.30 P.M. The learned Arbitrator may fix the next date of hearing as found convenient by the parties. The claim be filed by the claimant on the first date of hearing, before the Arbitrator with advance copy to the opposite party through counsel.