ARUN KUMAR JAIN Vs. DDA

JUDGEMENT

(1.) THE present petition is filed by the petitioners under Section 34 of the Arbitration and Conciliation Act, 1996 (in short' the Act') against an award dated 21.11.2006 made by the Sole Arbitrator in respect of the disputes arising between the parties.

(2.) IN a nutshell, the facts of the case are that the petitioners herein filed a suit in this Court in the year 1986, against the DDA praying inter alia for permanent injunction for restraining the DDA from cancelling the Perpetual Sub-Lease Deed dated 12.9.1983 of premises bearing No. D-1083, New Friends Colony, New Delhi-110065. The DDA entered appearance in the aforesaid suit and filed an application under Section 34 of the Arbitration Act, 1940 seeking stay of the proceedings in the suit on the ground that the suit was not maintainable as there was an arbitration clause governing the parties. During the pendency of the aforesaid suit, as the pecuniary jurisdiction of this Court was enhanced to above Rs. 20.00 lacs, the suit was transferred to the District Court.

(3.) IN the written statement, filed by the petitioners to the statement of claims filed by the respondent/DDA, the petitioners stated that they were not liable to pay any amount to the respondent/DDA towards claims No.1 and 2 on account of unearned increase, interest thereon and conversion charges and that they were only liable to pay the amounts claimed under claims No.4, 5 and 6. Subsequently, at the time of filing written submissions, the petitioners reiterated their stand as taken in the written statement and requested the learned Arbitrator to dismiss the claims of the respondent/DDA towards unearned increase and to issue directions to the DDA to convert the property from lease hold to free hold, in favour of the petitioners.