TIRUPATI BALAJI FURNACES PRIVATE LIMITED Vs. JASWANT SINGH

JUDGEMENT

(1.) The applicant has filed this arbitration application under Sec. 11(6) of the Arbitration and Conciliation Act, 1996 (hereinafter referred to as "the Act of 1996") seeking appointment of a sole arbitrator for resolution of the disputes between the parties.

(2.) It is pleaded in the application that a Memorandum of Understanding (hereinafter referred to as "the MOU") was executed between the parties on 7/10/2017. Clause 13 of the MOU provided that in case of any dispute, the same shall be settled by mutual negotiations and failing which the dispute shall be referred to arbitration as per the provisions of the Act of 1996. It is also pleaded in the application that a legal notice was issued on 16/3/2019 to make the payment of demanded amount and in case of non-compliance, to refer the disputes to the sole arbitrator. A reply was received from the non-applicants wherein they declined appointment of the sole arbitrator.

(3.) Reply to the application has been filed by the respondents. It is stated in the reply by the non-applicants that the matter was filed before the National Company Law Tribunal (hereinafter referred to as "the NCLT") and reply was filed by the non- applicants. Respondent Nos.11 and 12 have agreed for appointment of the sole arbitrator. However, respondent Nos.2, 3, 4, 8 and 9 have objected to the appointment of an arbitrator and have prayed for dismissal of the arbitration application.