B.D. Aggrawal, J. - (1.) These connected appeal under Section 39 of the Arbitration Act, 1940, arise against the judgment and decree of the Civil Judge, Dehradun, dated 28th November, 1977.
(2.) The plaintiff respondent no. 1 is a registered partnership firm engaged in the business of financing purchase of motor vehicles on hire purchase basis. Gyan Singh Bagga is the managing partner thereof. In each of the two suits giving rise to these appeals the defendant no. 1 appellant entered into hire purchase agreement with the plaintiff-respondent in respect of certain motor vehicles. The defendants nos. 2 and 3/respondents Nos. 2 and 3 are the guarantors. The agreement contains, inter alia arbitration clause. According to the plaintiff's case, upon adjustment of the amount fetched in consequence of the surrender made of the motor vehicles by the defendant no. 1, there was certain amount outstanding against the defendant no. 1 in both the suits. The liability of the other defendants in joint and several. In terms of the arbitration clause the plaintiff-respondent initiated proceedings under section 20 of the Arbitration Act, which was contested by the defendant no. 1 on ground principally that there was no such agreement entered into. He pleaded that his signatures had been obtained on black papers and these have been forged to constitute hire purchase agreements. It was denied by him that he had surrendered the motor, vehicles to the plaintiff as claimed by the latter.
(3.) Upon consideration of the evidence the court below came to the finding that the agreement of hire purchase containing toe arbitration clause in both the suit was duly entered into and the plaintiff is entitled to invoke Section 20 aforementioned. Reference has accordingly been made to the arbitrator, whose name also finds place in the arbitration clause agreed between the parties.;