PREM LATA BAI MODI Vs. MAHENDER KUMAR MODI

JUDGEMENT

(1.) By way of this application filed under Section 11(5) & (6) of the Arbitration and Conciliation Act, 1996 (for brevity, 'the Act of 1996'), the applicants seek appointment of a sole Arbitrator for resolving their disputes with the respondents. The value of the claim of the applicants is quantified at Rs.20,00,000/-.

(2.) The applicants filed O.S.No.264 of 2011 on the file of the learned Chief Judge, City Civil Court, Hyderabad, against the respondents seeking partition and possession of the house property bearing Municipal No.21-1-878 to 883, Deodi Mama Jameela, and the ground floor portion of the premises bearing Municipal No.21-2-181, Charkaman, Hyderabad. While so, the respondents filed I.A.No.43 of 2012 in the said suit under Order 7 Rule 11(d) CPC seeking dismissal of the suit on the strength of the arbitration clause contained in the Memorandum of Understanding (MoU) dated 24.01.2008 entered into by and between the parties. The trial Court accepted their plea and relegated the parties to the remedy of arbitration, vide order dated 27.08.2012. Thereupon, the applicants addressed legal notice dated 06.04.2013 to the respondents invoking the arbitration clause in the MoU dated 24.01.2008 and seeking their concurrence for appointment of Sri K.V.Giridaran, Retired District Judge, as the sole Arbitrator to resolve their disputes. Having received no response thereto, the applicants moved this Court seeking appointment of a sole Arbitrator.

(3.) Notice having been ordered on this application, Sri Bankatlal Mandhani and Sri Ganshyamdas Mandhani, learned counsel, entered appearance for the respondents. However, no counter was filed by them contesting this application. Sri Ganshyamdas Mandhani, learned counsel, would inform this Court that he has no objection to the appointment of an Arbitrator for resolution of the disputes between the parties.