INSTALMENT SUPPLY PRIVATE LIMITED Vs. SUSHILA SHARMA

JUDGEMENT

(1.) JUDGMENT (ORAL) , J.-

(2.) THE petitioner. THE Instalment Supply (P) Ltd., has filed this petition under Section 20 of the Arbitration Act, 1940 stating that the petitioner is carrying on business of Hire Purchase of Motor Vehicles and Mr. Krishan Bans Bahadur who has signed and verified the petition is the Joint Managing Director of the petitioner-company and is duly authorised to sign and verify the pleadings and to institute this suit. it has been alleged that on llth January, 1985 the respondent No. 1 had taken on hire a truck registered No. UHR 9802 bearing Chassis No. 344050 197175 and Engine No. 692 DO3 204934 make-Tata Diesal 1985 Model under a Hire Purchase Agreement and respondents No. 2 to 4 had stood guarantee for due performance of the terms of the Agreement and that under the said Agreement the respondent No. 1 had paid to the petitioner the sum of Rs. 32,073.53 as entitled payment by way of premium for agreeing to give on hire the said truck and had further agreed to pay 34 monthly instalments each and one instalment of Rs. 5900.00 to the petitioner; first instalment falling due on 3rd March, 1985and subsequent instalments payable by 3rd of each succeeding month. It has been stated that the agreement between the parties contains clause III according to which in the event of disputes between the parties, the matter is to be referred to the sole arbitrator of either Mr. Ramesh Chand, Advocate or Mr. Sarveshwar Dayal, Advocate or Mr. Anand Kumar, Advocate or Mr. Virender Kumar, Advocate at the option of the party raising the question of matter in difference. It has been alleged that disputes have arisen between the parties inasmuch as the respondents have not cared to pay the instalments and also to return the vehicle. THE petitioner has prayed that the disputes between the parties be referred to the sole arbitration of Mr. Ramesh Chand Advocate.