RATTAN CHAND Vs. BIMLA DEVI

JUDGEMENT

(1.) Bimla Devi, widow of Banwari Lal {deceased partner of M/s. Sharda Oil Mills, G. T. Road (Sirsa Road), Fatehabad (herein referred as 'the Firm')} filed a suit for dissolution of the Firm and also claimed separate possession of l/4th share in the moveable and immovable property, as fully detailed and described in the heading of the plaint and rendition of accounts. She also challenged the mortgage deed No.177, dated 17.4.2006 executed by the petitioner-defendant No. 2 Rattan Chand (herein referred as 'the petitioner') as general power of attorney of the plaintiff and defendant No. 3 and Sanjay Kumar, prede-cessor-in-interest of defendant Nos.4 and 5 on behalf of defendant No.1 in collusion with defendant Nos.3 to 6 in favour of defendant No. 7. She also challenged the agreement to sell dated 16.7.2006 executed by defendant No. 7 in favour of defendant No. 6 and the alleged compromise dated 13.12.2006, prepared by the petitioner, defendant Nos. 6 and 7 in Civil Suit No. 234-C of 2006 titled as "Ved Parkash v. Narender Kumar and another".

(2.) Upon notice, the petitioner moved an application under Section 8 of the Indian Arbitration and Conciliation Act, 1996 (for short 'the Act') on 14.4.2007 stating that as per Arbitration Clause No.14, the civil court has no jurisdiction to try the suit and that the dispute could be resolved by any Arbitrator appointed as mutually agreed upon between the parties. The reply to the said application was filed, denying all the allegations and pleading that defendant Nos. 6 and 7 are not the parties to the partnership agreement and on the death of Sanjay Kumar, the Firm stood automatically dissolved and the arbitration agreement came to an end. The Trial Court vide order dated 19.2.2009 declined the application under Section 8 of the Act and allowed the suit to proceed.

(3.) Heard.