MODERN METAL INDUSTRIES Vs. SHANTI PAROLIA

JUDGEMENT

(1.) This appeal has been filed against the impugned order of the District Judge, Kanpur Nagar dated 22.12.2003 by which the appellants application under Section 9 of the Arbitration and Conciliation Act, 1996 (hereinafter referred to as the Arbitration Act) has been dismissed. Heard Sri S.P. Gupta, learned senior Advocate and Sri Sunil Gupta learned senior Advocate for the appellant and Sri Ravi Kant, Senior Advocate and Sri H.N. Singh for the respondents.

(2.) The facts of the case are that a partnership firm M/s Modern Metal Industries, appellant no. 1, was constituted under the Partnership Act, whose partners included (1) the appellant no. 2, Shri Bhagwan Gupta, (2) Smt. Shanti Parolia and (3) Smt. Sunil Kumari Parolia. The business of the firm consisted of manufacture and sale of various aluminium and steel products, and the factory is located in the premises at 83/258 A, Juhi Khurd, Kanpur. True copy of the partnership deed is at page 46 of the paper book in this case being Annexure 1 to the affidavit in support of the stay application. Clause 18 of the partnership deed states: That all disputes and questions in connection with the partnership or interpretation of this deed arising between the partners or between any one of them and the legal representative of the other or between their respective legal representatives and whether during the continuation of or after the termination of this partnership shall be referred to sole arbitrator Sri Dataram Parolia, 44, Burtolla Street, Calcutta according to the provisions of the Arbitration Act in force and his decision shall be binding on all concerned.

(3.) The partnership was initially constituted in 1965 and it was reconstituted thrice but the present three partners were partners of the firm throughout. The last reconstitution of the firm was in the year 1982 with only the present three partners. Thus it is evident that the firm has been functioning for almost 40 years.