COMED PHARMACEUTICALS LTD Vs. BLUE STAR LIMITED

JUDGEMENT

(1.) By this application under Section 115 of the Code of Civil Procedure, 1908, the applicant -original defendant has challenged the order dated 4.4.2011 passed by the learned Senior Civil Judge, Vadodara below exhibit -11 in Special Civil Suit No.626 of 2008 (Summary) and prays that the dispute raised in the said suit be referred for arbitration as per the terms of the arbitration clause stated in the application at exhibit 11.

(2.) The facts of the case stated briefly are that the respondent (original plaintiff) instituted a suit for recovery of Rs. 42,00,000/ - and interest of Rs.15,77,548/ - at the rate of 20 per cent thereon in the Court of the learned Additional Senior Civil Judge, Vadodara under the provisions of Order XXXVII of the Code of Civil Procedure, 1908 (the Code) and prayed for a decree for Rs.57,77,548.00/ -.

(3.) The case of the plaintiff was that under tender document for Heat Ventilation Air Conditioning (HVAC) Work, M/s Doshi Consultants Pvt. Ltd the duly appointed agents and consultants of the defendant, had floated tender inviting offers. The offer of the plaintiff came to be accepted and a binding contract was concluded, pursuant to which orders were placed by the defendant and the plaintiff duly supplied the goods. However, a sum of Rs. 42,00,000/ - was still outstanding and the defendant deliberately and negligently failed to pay the same despite reminders and subsequently after 15 months for the first time on 30th August, 2008 raised a complaint regarding cooling. Hence, the plaintiff instituted the above suit for recovery of the outstanding amount with interest.