VAISHALI PURAN RAJPUT Vs. CHANDRASHEKHAR SHAMRAYA SHETTY

JUDGEMENT

(1.) HEARD Shri Gorwadkar, learned Counsel for the appellant. The present appeal is filed against the Order dtd. 7/8/89, rejecting the application filed by the present appellant/defendant for referring the dispute to the Arbitration in view of Clause-21 of the Agreement dtd. 19/7/87. The learned Judge has rightly found that the dispute claim does not cover interpretation of clause in the Agreement. As a matter of fact the said Agreement has been terminated by the defendant himself. Mere existence of clause of arbitration will not entitle parties to apply Sec.34 of the Arbitration Act but the clause itself applies to the dispute covered by the suit. Clause 21 in the present Agreement is as follows :-

(2.) IF the defendant himself have terminated the Agreement and the claim is not covered by clause 21, the defendant is not entitled to apply for referring the dispute to the Arbitration u/Sec.34 of the Arbitration Act. The learned Judge has taken correct view. Hence Appeal is dismissed with no orders as to cost.