JAYABHARAT AUTOMOBILES LIMITED Vs. B.R. INTERNATIONAL

JUDGEMENT

(1.) BY this petition filed under section 34 of the Arbitration & Conciliation Act, 1996 (for short the said "Arbitration Act"), the petitioner has impugned the arbitral award dated 14th September 2007 rendered by the learned arbitrator allowing some of the claims made by the respondent and partly rejecting the counter claims made by the petitioner. Some of the relevant facts for the purpose of deciding this petition are under :

(2.) THE petitioner was the original respondent whereas the respondent was the original claimant in the arbitral proceedings. The petitioner had also filed counter claims against the respondent in the arbitral proceedings. For the sake of convenience, the parties are described in the later part of the judgment as they were described in the arbitral proceedings.

(3.) SOME time in the month of June 2000, the claimant approached the respondent to allow the claimant to sell the accessories from the showroom of the respondent as the respondent was carrying on the business of selling cars and the claimant was in the business of providing accessories and car air conditioning system. An understanding was arrived at between the parties that the claimant was allowed to approach the respondent's customers and to sell the car accessories which were required to be fitted in the cars as per the customers requirements. The respondent allowed the claimant to occupy a portion of the premises of the respondent to conduct the business activities and to sell car accessories in the premises of the respondent through the respondent. It is the case of the respondent that it was agreed that no compensation would be charged to the claimant for the initial period of six months till the claimant would establish its business. The respondent was an authorised dealer of Hyundai and was selling cars manufactured by the said Hyundai Company.