Hemant Gupta, J. - (1.) THE Petitioner has sought appointment of an Arbitrator in the present petition under Section 11(6) of the Indian Arbitration and Conciliation Act, 1996.
(2.) THE Petitioner was appointed as Carrying & Forwarding Agent and Distributor in the State of Himachal Pradesh, Chandigarh and some parts of Haryana by the Respondent in respect of their products such as Jeans, Shirts, Trousers, T -Shirts and Ready Made Garments as per the agreement dated 01.03.2004. As per the Petitioner, the disputes between the parties have arisen out of the said agreement. The relevant clauses of the agreement read as under: 18. This agreement shall be interpreted according to the law of Karnataka State and any dispute arising in this respect of agreement shall be subject to jurisdiction at Bangalore. 20. If there is any dispute regarding the terms of this agreement of interpretation hereof or anything done or omitted to be done in pursuance hereof, the same shall be referred to arbitration of Arbitrator to be appointed by both parties and such arbitration shall be held at Bangalore in accordance with the provisions of the Arbitrator Act, 1940 and such decision shall be binding on the parties and their representatives. It is the case of the Petitioner that on 16.08.2008, the Petitioner has sought settlement of accounts, but the Respondent has failed to settle the accounts, therefore, the disputes have arisen between the parties. In reply, the Respondent has averred that in terms of Clause 18 of the Agreement, only Bangalore Courts have the jurisdiction to determine any of the disputes or differences that might arise between the parties and, therefore, this Court is not a competent Court for appointment of an Arbitrator.
(3.) THE Petitioner has filed replication to the said reply admitting the terms and clauses of the Agreement. But it is asserted that "such laws of State of Karnataka are not to be invoked except when the dispute which has arisen in the operational area within jurisdiction of this Hon'ble Court has to be adjudicated by the Arbitrator appointed by this place".;