M/S GAIN SINGH Vs. MANAGING DIRECTOR

JUDGEMENT

(1.) These arbitration applications have been filed by the applicant under Section 11 (6) of the Arbitration and Conciliation Act, 1996 ("the Act") for appointment of Sole Arbitrator on account of the respondents failing in appointing the Arbitrator in terms of the arbitration clause in the contract.

(2.) The applicant was awarded two contracts relating to maintenance/repair of road at the Industrial Area, Rajasthan State Industrial Development & Investment Corporation (RIICO) vide work order No.9975-76 dated 21.11 and 9979-82 dated 21.11 issued by the Regional Manager, RIICO Limited, Jodhpur. A dispute having been arisen regarding the revision of the rates of the item no.7 in the G Schedule and consequential denial of the petitioner's claim for Rs.7,31,839.29 and Rs.5,50,563/- in respect of the two contracts, the petitioner invoking the clause no.23 of the contract demanded the reference of the dispute for settlement to arbitration, which has not been acceded to by the respondents. Hence, these applications.

(3.) Learned counsel appearing for the respondent contended that clause 23 as contained in the contract is not an arbitration clause and therefore, the applicant is not entitled to invoke the jurisdiction of this court under Section 11 of the Act for appointment of arbitrator. In support of the contention, learned counsel for the respondent has relied upon a decision of this court in the matter of "M/s. Mohammed Arif Contractor v. State of Rajasthan & Anr.", 2015(3) CDR 1351 (Raj.).