- (1.) HEARD learned counsel for the parties.
(2.) THE applicant was awarded construction work of 'Traffic Island at joining Durgapura to Shiprapath Mansarovar, Jaipur under the work agreement No.34/2007-08 for which work order no.850 dated 5th October, 2007 was issued. However, the work could not be commenced on account of dispute between the parties. Invoking the provisions of Clause 23 of the conditions of the agreement, the applicant vide his letter dated 15th April, 2010 submitted his claims in the prescribed format for constitution and referring the same to the Empowered Standing Committee and also deposited a cheque of Rs.22,000/- towards the requisite 2% fee but the non-applicants did not refer the dispute to the Empowered Standing Committee. Hence, the applicant has filed the present arbitration application under Section 11 of the Arbitration and Conciliation Act, 1996 (hereinafter referred to as 'the Act of 1996'). Counsel for the applicant submits that on account of withdrawal of the work order, the applicant has suffered loss and invoked Clause 23 of the Conditions of Agreement by submitting application/claim dated 15th April, 2010 for constitution of and referring the dispute to the Empowered Standing Committee and even after lapse of the period of more than one month, the dispute was not referred. Since, the non-applicants have failed to act as per clause 23 of the Conditions of Agreement till the date of filing of the arbitration application i.e. 28.7.2010, therefore, they have lost their right to refer the dispute to the Empowered Standing Committee and as such the matter requires to be referred to the independent Arbitral Tribunal. Counsel for the applicant further submits that competent and qualified persons are not available in the office of the non-applicants so as to constitute Empowered Standing Committee. Counsel for the non-applicant RHB submits that the said dispute is not referable to the Standing Committee. Counsel for the non-applicants further submits that competent and qualified persons are available in the office of the non-applicants to constitute Empowered Standing Committee.
(3.) I have gone through the material available on the record of the case and further considered the rival submissions. There is no dispute that this Court has territorial jurisdiction to entertain the present application and this Court is of the view that in view of specific clause 23 contained in the Conditions of Contract, the matter was required to be referred by the non-applicants to the Empowered Standing Committee within the specified period or till the date of filing of the present arbitration application but they have failed to do so. Therefore, the dispute is required to be referred to an independent Arbitral Tribunal. In view of the above, I deem it proper to appoint Mr. Pravesh Kumar Bhatia, Retired District & Sessions Judge, Resident of B-20A, Shiv Marg, Bani Park, Jaipur as an arbitrator to decide the matter. Fees and other terms and conditions of arbitration shall be settled by the Arbitrator as per the Arbitration Manual. A copy of this order be sent to the Arbitrator. ;