2005 (4) TMI 612

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....y And Ms. Bina Gupta, For Respondent (s)Mr. Mohan Parasaran, Mr. V.N. Koura, Mr. A. Mariarputham, Ms.Aruna Mathur, Mr.Gosh Choudhary And for M/s. Arputham,Aruna & Co. ORDER: Lahoti R.C., 1. Leave granted. 2. The agreement entered into between the parties contains an arbitration clause which reads as under: "14.1 Disputes or differences arising out of or in relation to agreement/contract sh....

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....trator to whom the matter is originally referred to is transferred or vacates office, the Functional Director, aforesaid, shall nominate another officer of the owner to act as arbitrator. 14.4 Such officer nominated as sole arbitrator shall be entitled to proceed with the arbitration from the stage at which it was left by the predecessor. It is the term of this contract that no person other than ....

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.... appellant was to move in accordance with clause 14.1 abovesaid, whereupon the Functional Director would adjudicate upon the disputes as sole arbitrator. 4. Feeling aggrieved by the abovesaid order, the appellant filed a petition under article 226 of the constitution which has also been dismissed. The appellant is before us by way of special leave to appeal. 5. Having heard the learned counsel f....

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....the opposite party has not made an appointment within 30 days of demand, the right to make appointment is not forfeited but continues, but an appointment has to be made before the former files application under Section 11 seeking appointment of an arbitrator. Only then the right of the opposite party ceases." (emphasis in original) 6. The case at hand is squarely covered by the abovesaid view o....