TEK SINGH Vs. PARAMJIT SINGH AND ORS.

JUDGEMENT

(1.) FILING of the written statement does not invariably constitute a bar to the stay of proceedings under Section 34 of the Arbitration Act, 1940 (hereinafter referred to as the Act). Illustrative of this being the case here.

(2.) THE partnership deed between the parties contained an arbitration clause which reads as under:

(3.) ON the next date of hearing, i.e., January, 30, 1985, besides filing a reply to the application for temporary injunction, the Defendant also filed his written statement. The case was then adjourned to February 6, 1985, for reply to the application under Section 34 of the Act. This reply was eventually filed on February 7, 1985. One of the pleas raised in this reply was that the filing of the written statement by the Defendant constituted a step in the proceedings and the application thus deserved to be dismissed on this ground alone. This objection prevailed with both the trial Court as also the lower appellate Court. Stay of proceedings, as sought by the Defendant, was consequently declined. Herein lies the challenge in revision.