KANDUKURI CONSTRUCTIONS Vs. RAHIMUNNISA BEGUM

JUDGEMENT

(1.) This Arbitration Application is filed under Section 11(5) and 11(6) of the Arbitration and Conciliation Act, 1996 (for short 'the Act') by the applicant herein seeking appointment of an Arbitrator to resolve the disputes between the applicant and the respondents pursuant to Clause 17 of the Development Agreement-cum-Irrevocable General Power of Attorney dt.27.07.2012.

(2.) The applicant is a registered partnership firm which had entered into a Development Agreement-cum-Irrevocable General Power of Attorney dt.27.07.2012 with the respondents. It is the allegation of the applicant that it had paid substantial sums as consideration for the execution of the said document, but the respondents did not adhere to the terms and conditions of the said document and did not handover possession of the schedule premises to enable the applicant to demolish the same. It contends that Clause 17 of the said document contains the Arbitration Clause which states:

(3.) It is alleged by the applicant that on 23.03.2013, it had issued a legal notice to the respondents stating that they had not handed over the subject property to them in order to demolish the existing structures to commence work therein and it had incurred substantial losses due to the delay; and that reply notices dt.11.11.2013 and 16.01.2014 were sent by the respondents to the applicant alleging that the said document was obtained through fraud, deception and misrepresentation.