JUDGEMENT
Vijender Jain, C.J. -
(1.) This petition for appointment of an Arbitrator has been filed by the petitioner in terms of the Arbitration Clause 25A of the agreement, which is to the following effect:
If any question, difference or object whatsoever shall arise in any way connected with or arising out of this instrument at the meaning or operations of any part thereof or the rights duties liabilities of other party then same in so far as the decision of any such matter there in before provided for and has been so decided every such matter including whatever according or whether its decision has been otherwise provided for and or whether it has finally divided the contract should be terminated not has been rightly terminated and as regards the rights and obligations of the parties as the result of such termination shall be referred for arbitration to the capable officer to be appointed by the Chief Administrator of the Board within 180 days viz six months from the date of making final payment to the contractor or when the contractor is not willing to receive the payment from the date of registered notice is to him that his final bill is ready for payment and his decision shall be final and binding and where the matter involves a claim for the payment or recovery or deduction of money, only the amount if any awarded in such arbitration shall be recoverable in respect of the matter so referred.
If the matter is not referred to arbitration within specified period, all the rights and claims under the contract shall be deemed to have been forfeited and absolutely barred.
(2.) The petitioner invoked the aforesaid Arbitration Clause vide its letter dated May 05, 2004 (Annexure P -5). The receipt of the said letter is not denied by the respondents. However, no Arbitrator was appointed by the respondents. The petitioner was constrained to file an Arbitration Petition before the Court of the District Judge, Ambala, on August 12, 2004. Notice of the said petition was issued to the respondents. The respondents put in appearance before the District Judge, Ambala, on October 01, 2004. However, they took time to file reply to the petition, but had not appointed the Arbitrator till then.
(3.) The respondents appointed the Arbitrator on November 25, 2004. In the meanwhile, in view of the decision of the apex Court in M/s. SBP & Co. v/s. : AIR2006SC450 , all the Arbitration Petitions pending before the District Judges were transferred to this Court. The District Judge, Ambala, sent this petition to this Court on February 18, 2006. The respondents put in appearance before this Court on March 30, 2007. No reply to the main petition has been filed. However, reply to the application for stay has been filed by the respondents and the plea taken in the said reply is that in the Arbitration Clause 25A of the agreement, no period of thirty days has been prescribed for appointment of the Arbitrator and as the respondent -Board has appointed the Arbitrator within a reasonable time, therefore, the present petition as well as application for stay deserve to be dismissed. Same argument has been advanced by the learned Counsel for the respondents before me.;
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