DAYASHEEL DISTRIBUTORS Vs. RAJIV DIXIT MEMORIAL TRUST

JUDGEMENT

(1.) The present application under Sec. 11(6) of the Arbitration and Conciliation Act, 1996 (hereinafter referred to as 'the Act of 1996') has been preferred for appointment of an independent and impartial sole arbitrator.

(2.) The facts as submitted in the application are that a 'Distributor Agreement' was executed between the parties on 25/9/2017. Vide the said agreement, the applicant was granted a contract for distribution and sale of 'Ayurvedic Products' as manufactured by the respondent-Trust. As the sales of the products kept on declining, the applicant distributor did not wish to continue with the distributorship and hence, communicated to the respondent-Trust for non-continuance of the distributorship. The respondent Trust agreed for the same and suggested the applicant that the goods whatsoever, in possession of the applicant, be returned and assured that the amount qua the same shall be refunded/repaid to the distributor. The assurance/promise to refund the amount qua the returned goods was reiterated vide email dtd. 19/6/2018.

(3.) As per the submission of the applicant, one month's notice also was served on the respondent-Trust, it being a condition of the agreement, to terminate the contract. Subsequently, all the unsold goods, in possession of the applicant, valuing to Rs.8,93,500.00 were transported back to the respondent-Trust. The last invoice of the returned goods was of 29/11/2018. Despite return of the said goods, amount qua the same was not received by the applicant firm and hence the dispute arose.