2022 (1) TMI 1483

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....021 by Commercial Court, Jabalpur allowing an application of the respondent preferred under Section 9(1)(d) of the 1996 Act restraining the IOC from cancelling MS(HD)(B Site) retail outlet dealership. 2. Learned counsel for the rival parties are heard on the question of admission and so also on final disposal. 3. The sole argument of the learned senior counsel for the appellant-IOC is that in the given facts and circumstances where a mere show cause notice dated 31.03.2021 for termination of the dealership was issued and a reply was taken from the respondent and personal hearing was afforded to the respondent. But since no decision as regard termination of dealership was reached by the IOC, no cause arose to the respondent to invoke S....

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....rading Corporation) contends that the very fact of a show cause notice having been issued to the respondent and the respondent having refuted the same, they have rise to the concept of dispute thereby opening the doors of Section 9 to the respondent to seek the remedies provided therein before commencement of arbitral procedure. 7. The only question before this Court is that in the absence of any termination of the dealership, any dispute had arisen between the rival parties to enable the respondent to invoke Section 9 of the 1996 Act. 8. Surprisingly, the expression 'dispute' is not defined in the 1996 Act though the expression find reference in number of provisions contained in the 1996 Act, and the principal object behind the Act i....

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....cause as to why his dealership agreement be not terminated for certain lapses for discovery of illegalities prima facie demonstrating manipulation of dispensing unit, operation and delivery of fuel from dispensing unit. In response, the respondent initially sought time on 03.05.2021 vide Annexure A/3 which was granted by extending the period of submission of reply by 11.6.2021. As per the contents of para 4.3 of this appeal, the IOC has submitted that the respondent had filed reply to the show cause notice and thereafter was given a personal hearing on 09.09.2021 vide Annexure R/5. In the reply and as well as the personal hearing, the respondent refuted the contents of the show cause notice and sought its withdrawal. This act of assertio....