- (1.) This application under Section 8 read with Section 11 of the Arbitration and Conciliation Act, 1996(for short 'the Act') has been filed by R.P. Choudhary(HUF) through its Karta Shri Ram Prakash Choudhary praying for appointment of an independent arbitrator to resolve the dispute between the parties.
(2.) Facts of the case as averred in the application are that Shri Ram Prakash Choudhary, who is Karta of R.P. Choudhary(HUF) under partition of the property of his father late Gadadhar Prasad Choudhary got a plot of land containing an area of 1788 sq. yards at Moti Doongri Circle, Moti Doongri Road, Jaipur. Since other co-sharers of the property, who also got the portions of land in partition, developed multi-storeyed buildings on their respective plots, the respondent, who is son of brother-in-law of the applicant, persuaded him for development of a multi-storeyed building on the plot of land, which came into his share in partition of his father's properties.
(3.) Mr. R.K. Salecha, learned counsel for the applicant submitted that Initially, on 23.01.2006, an agreement was executed between the applicant and respondent followed by a regular agreement on 15.05.2006 for development and construction of multistoreyed building. It was agreed in the agreement that after development of the multi-storeyed building on the plot the applicant will be owner of 55% of the constructed saleable portion and the respondent will be owner of 45% of the constructed saleable portion. The saleable portion excludes common areas, like staircase, lift, common passage, common room, meeting hall, etc. It was further agreed that in case the construction is not completed within 36 months or in extended grade period of six months then the respondent will pay Rs. 1,00,000/- per month to the applicant. At the time of execution of the agreement, the respondent had deposited Rs. 30,00,000/- as security for construction of the building. The said amount has already been refunded to the respondent though up to that date the construction was not complete and even till date certain flats are still waiting completion. Clause 20 of the agreement provided that in case of any dispute arising between the parties in respect of meaning and interpretation with regard to any clause of the agreement, or in respect of its execution or completion of project or in case of specifications of the material etc. used in the building complex or after its completion thereof all disputes shall be referred to the arbitrator Smt. Gayatri Choudhary whose decision shall be final and binding on the both the parties. No party shall go in any court of law or any subject touching to the agreement unless the arbitrator fails to give its award within a reasonable time on any dispute or differences.;