- (1.) This is an application under Section 11 of the Arbitration and Conciliation Act, 1996. It arises out of an agreement between the Petitioner and the Respondents dated 13th July, 2007. It contains an arbitration clause being 13.1 which is as follows: 13.1 All disputes and differences between the parties hereto regarding the interpretation scope or effect of any of the terms and conditions herein contained or in any way touching or concerning the said unit or as regards the rights and liabilities of the parties hereto shall be referred to the arbitration of a sole arbitrator if both the parties mutually agree upon or two arbitrators, one to be appointed by the lessee and the other to be appointed by the lessor and both the said arbitrators shall appoint the Third Arbitrator and/or Umpire and the same shall be deemed to be a reference within the meaning of the Arbitration and Conciliation Act, 1996 or any other statutory modification or enactment thereto for the time being in force.
(2.) The Petitioner owns premises No. 375, Prince Anwar Shah Road, Kolkata - 700068. At the time of execution of the said agreement, they were building the South City Mall there. This mall is spectacular. It is unique in the City of Kolkata. It is huge and gorgeous and has many shops and showrooms, cafes and a state of the art structure, layout and facilities, which includes multi level parking. By the above agreement the Petitioner agreed to let out a space in it to the Respondents to be used as a shop or showroom subject to observance of the conditions in the agreement. The terms and conditions of the agreement will be evident as I discuss the disputes which the Petitioner is trying to refer to arbitration. CASE FOR ARBITRATION
(3.) So, what is the case of the Petitioner that according to them is to go to arbitration? 1. The said agreement was to lease to the Respondents one unit in the South City Mall being No. S-004, measuring 820 sq.ft. (super built up) area on the ground floor. The lease would be for 99 years commencing from January 2007. 2. Out of the total consideration of Rs. 37.60 lacs fixed 80% was payable upon execution of the agreement, 10% on completion of the third floor casting and 10% on signing of the deed of lease. 3. The rent would be Rs. 100/- per annum payable within 7th of April every year. The Respondents would have to pay electricity charges, common area maintenance charges at rates determined by the Petitioner.;