INDIA HOSIERY WORKS Vs. BHARAT WOOLLEN MILLS LTD

JUDGEMENT

(1.) THIS appeal involves a short point under the Arbitration Act, 1940, arising out of the following facts.

(2.) ON 25-8-1951, a contract was entered into between the appellant, The India Plosiery Works, and the respondent, Bharat Woollen Mills Ltd., by which the respondent agreed to- sell and the appellant agreed to buy 10,000 lbs. of woollen yarn at a certain price, the goods to be delivered by a certain date. The contract contained the following arbitration clause:

(3.) BY the affidavit--in-opposition filed on its behalf, the appellant repudiated the respondent's claim for damages and took the further plea that the arbitration agreement was "vague, indefinite, void and unenforceable in law" and inasmuch as it did not provide for appointment of an arbitrator or arbitrators by consent of parties, the appellant could not, and had not to, concur in any appointment made by the respondent.