LAWS(BOM)-2018-7-83

ASHOK THAPAR Vs. TARANG EXPORTS PVT LTD

Decided On July 13, 2018
ASHOK THAPAR Appellant
V/S
Tarang Exports Pvt Ltd Respondents

JUDGEMENT

(1.) This Civil Revision Application is directed against the order dated 8th July, 2013 passed by the learned Judge, City Civil Court, Gr. Bombay thereby dismissing Notice of Motion No. 1372 of 2013.

(2.) The issue involved in this Civil Revision Application is whether an Arbitration Clause survives even after bilateral termination of the Agreement.

(3.) The respondent, who is the original plaintiff, has filed a suit based on Agreement dated 30th July 2012, which was executed between the plaintiff and the defendant. Pursuant to the Agreement dated 30th July 2012, the plaintiff was allowed to use and occupy the premises on a leave and licence basis. As per Agreement, the dispute in respect of the transactions is to be referred to an Arbitrator under the Arbitration and Conciliation Act, 1996 (hereinafter referred to as "the said Act"). The Agreement dated 30th July, 2012 was mutually terminated by both the parties in the month of October, 2012. Thereafter, the plaintiff has filed the suit for recovery of the security deposit and other claims based on the contents of the said Leave and Licence Agreement. Hence, the Notice of Motion was taken out by the defendant seeking that the Civil Court has no jurisdiction to try and entertain the suit and it is to be dismissed being barred in view of Clause No.11 of the said Leave and Licence Agreement. The trial Court dismissed the Notice of Motion and held that the Civil Court has jurisdiction to try and entertain the plaintiff's suit.