- (1.) By Court: This appeal has been preferred against the judgment dated 07.04.1995, decree signed on 17.04.1995 in connection with Arbitration Title Suit no.109 of 1990 passed by learned Sub-Judge-VI, Ranchi, whereby petition filed under section 20 of the Arbitration Act,1940(hereinafter referred to as the 'Act,1940') for appointment of Arbitrator was refused on the ground that the suit was time barred.
(2.) The appellant-plaintiff(hereafter referred to as the 'plaintiff') had presented a case before learned Sub-Judge that respondents-defendants had been inviting tenders for transportation and handling of food grains, edible oils, sugar etc. and in response to that the plaintiff had filed tenders quoting rates and other conditions. The contract was given to the plaintiff and agreements were executed in the year 1985-86 and 1986-87(Exhibits 2 and 2/A). There was clause of minimum guarantee in those agreements, but the higher officials of the concerned department had later changed the minimum guarantee as disclosed in the contract and the payments against the job done were withheld by the defendants. It was contended that the defendants started giving wrong interpretations to the provisions of payment of transport charges of the minimum guarantee rate as laid down in the tender and they deviated from the transport charges contained in the agreements. The plaintiff had further made out a case that the defendants illegally deducted a sum of Rs.24,954.20 paise, a sum of Rs.26,612.62 paise and further withheld a sum of Rs.1,08,386/-, Rs.2,54,833/- and Rs.26,467/- and as such dispute arose.
(3.) In pursuance of Clause17 of the Agreement, notices were sent to the defendants to enter into an arbitration proceeding, but it was refused and hence petition under section 20 of the Act,1940 was filed on which Arbitration Title Suit no.109 of 1990 was registered.;