JUDGEMENT
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(1.) This application is at the instance of the
petitioner of a proceeding under Section 9 of the Arbitration and
Conciliation Act, 1996 and is directed against the order no.27
dated May 27, 2008 passed by the learned Judge, City Civil Court
at Calcutta in Misc. Case No.1349 of 2005 thereby allowing an
application under Order 1 Rule 10 of the Code of Civil Procedure
filed by the opposite party no.3.
(2.) The short fact is that the petitioner filed the said
proceeding for recovery of money advanced with regard to a motor
vehicle. The opposite party nos.1 is the hire purchaser and the
opposite party no.2 is the guarantor of the said transaction. For
non-payment of the money, the petitioner filed the said title suit
praying for an award of Rs.3,57,434/-, declaration that the
petitioner is the owner of the said motor vehicle, recovery of
possession and other reliefs. During pendency of the said
proceedings under Section 9 of the Act of 1996, the applicant
/opposite party no.3 herein filed an application under Order 1
Rule 10 of the C.P.C. contending, inter alia, in fact he is the
owner of the said motor vehicle and he purchased the same upon
taking a loan from the ICICI Bank. He has been paying the monthly
instalments to the said bank and as such, he is the owner of the
vehicle in question. Therefore, he should be added as a party to
the proceeding. That application was allowed by the impugned
order. Being aggrieved, the petitioner has preferred this
revisional application.
(3.) The learned Advocate appearing on behalf of the petitioner
submits that the proceeding under Section 9 of the Arbitration and
Conciliation Act, 1996 was initiated for taking interim measures
with regard to the subject matter of the property in dispute.
Since the proceeding has been instituted under the Special Act,
the parties to the suit should be as per terms of the arbitration 3
agreement held between the parties. He has referred to the
definition of 'party' as per Section 2(h) of the Act of 1996. The
'arbitration agreement' has also been defined in Section 2(b) of
the said Act of 1996 and the Section 7 of the said Act lays down
what is the 'arbitration agreement'. Therefore, according to such
provisions of the Special Act, the applicant is neither a
necessary party nor a proper party to the arbitration proceedings.
So, the learned Trial Judge has committed a wrong in allowing the
application under Order 1 Rule 10 of the C.P.C. It must be set
aside.
On the other hand, the learned Advocate appearing on behalf
of the opposite party submits that it is the applicant/opposite
party no.3 herein who had purchased the vehicle in question upon
taken loan from the ICICI Bank and the applicant has been paying
the monthly instalments as per agreement with the bank. He has
almost cleared up the dues to the bank and as such, he is the
owner of the vehicle in question. Therefore, the applicant has an
interest in the vehicle in question. So, the learned Trial Judge
was justified in allowing the application under Order 1 Rule 10 of
the C.P.C. So, the application under Article 227 of the
Constitution should be dismissed.;
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