R. V. Raveendran, J. - (1.) These appeals by special leave are filed against the order dated 30.11.2006 passed by the IV Additional District Judge, Rewa, Madhya Pradesh, aggrieved by the remand, while allowing in part Civil Appeal Nos.24 and 25 of 2006 filed by the appellant, with a direction to reconsider the applications of the appellant under Section 45 of the Arbitration and Conciliation Act, 1996 ('Act' for short) in terms of the Judgment of this Court in Shin-Etsu Chemical Co.Ltd. v. Aksh Optifibre Ltd. and Another (2005) 7 SCC 234.
(2.) Vindhya Telelinks Ltd. and Optic Fibre Goa Ltd. - respondents 1 and 2 in the first of the two appeals filed Civil Suit No. 31-A of 2002 (renumbered as Civil Suit No.38A of 2004) on the file of the Civil Judge, Class-I, Rewa, Madhya Pradesh for a declaration that the Long Term Sale and Purchase Agreement entered between appellants and them, was null and void and for a permanent injunction restraining the appellant (first defendant in the suit) from relying upon/invoking/giving effect to any term of the said agreement. Similarly, Birla Ericsson Optical Ltd. and Optic Fibre Goa Ltd - respondents 1 and 2 in the second of these appeals, filed Civil Suit No.30A of 2002 (renumbered as Civil Suit No.39A of 2004) in the said court for similar reliefs.
(3.) On entering appearance, the appellant filed applications under order 7 Rule 11 of Code of Civil Procedure read with Sections 5 and 8 of the Act seeking dismissal of the suits and a direction for referring the parties to arbitration (in terms of the arbitration agreement contained in the Long Term Sale and Purchase Agreements dated 23rd and 24th January, 2001). The said applications were dismissed by the trial court on 14.07.2003. The revision petitions filed by the appellants were dismissed by the Madhya Pradesh High Court on 26.08.2003. On further appeals, this court in Civil Appeal Nos.6210-6211 of 2004, by order dated 7.12.2005, set aside the orders of the trial court and High Court and remanded the matters to the trial court to decide the matters afresh treating the applications filed by the appellant herein (under Order 7 Rule 11 CPC read with sections 5 and 8 of the Act) as applications under Section 45 of the Act and dispose them in terms of the decision in Aksh Optifibre Ltd.(supra). In pursuance of it, the trial court considered the applications filed by the appellant as applications under Section 45 of the Act and passed a common order dated 31.3.2006 thereon, holding that the arbitration clause on the basis of which the appellant had filed an application under Section 45 of the Act was prima facie inoperative and in such a situation, the parties cannot be referred to arbitration and the matter should be proceeded with and decided on merits by the court.;