CENTRAL ELECTRONICS LTD. Vs. FRIENDS CABLE INDUSTRIES, NOIDA

JUDGEMENT

(1.) Heard learned counsel for the parties.

(2.) It is not in dispute between the parties that pursuant to tender notice dated 14 February 2012, contract for purchase and supply of cables was entered between the parties on 11 July 2012 and 12 July 2012, respectively. The applicant-company vide communication dated 26 November 2013 informed the opposite party that the products supplied pursuant to the contract was defective. However, it is contended that no response was received from the opposite party, consequently, vide communication dated 16 June 2014 applicant requested opposite party to replace the cables, but in vain. Thereafter, by a subsequent communication dated 27 September 2015, it was requested that material supplied be tested for its suitability. In response, opposite party vide communication dated 29 September 2014 sought details of the defect in the materials from the applicant company.

(3.) It appears that the opposite party, thereafter, did not respond, consequently, vide notice dated 16 September 2016, objections were raised formally relating to the defective cables supplied against purchase order No. 36051 dated 22 May 2012. The defects was detailed in the notice. In response thereto no reply was received from the opposite party, therefore, finally, on 30 January 2017, a formal application was communicated to the opposite party invoking arbitration clause.