NORTH EASTERN ELECTRIC POWER CORPORATION LIMITED Vs. JIBAN KUMAR SAHA

JUDGEMENT

(1.) This is an application under Section 115 of the C.P.C. read with Art. 227 of the Constitution of India against the order dated 4-11-1998 passed by the learned Civil Judge (Senior Division) No. 1, West Tripura, Agartala in Money Suit No. 71 of 1998 thereby rejecting the prayer of the petitioner herein for stay of further proceedings of the suit in view of the Arbitration Clause in the Contract Agreement entered into between the parties.

(2.) The respondent as plaintiff brought a suit for recovery of Rs. 33,750/- from the petitioners herein. It was averred in the plaint that there was a contract agreement dated 2-11-1995 between the parties for construction of 'A type residential building at the permanent Colony of Agartala Gas Turbine Power Project, Ramchandranagar, Tripura West' and on completion of the works the plaintiff submitted the final bill for an amount of Rs. 67,500/-. But out of the aforesaid amount a sum of Rs. 33,750/- was deducted by the defendants. According to the plaintiff the act of deduction of the said amount was improper and not sustainable in law. Hence, the suit.

(3.) In response to the summons for institution of the suit, the defendants filed an application which has been styled as one under Order VII, Rule 11, CPC for rejection of the plaint. It was averred in the petition that the agreement entered into between the parties for construction of the building under No. NEEPCO/CE(C)/Cont/AGTPP/18/95-96, dated 2-11-1995 contained in Arbitration Clause under Clause No. 66 of the Agreement. Thus, according to the contesting defendants as the matter was covered by the Arbitration Clause, the plaint was to be rejected under Order VII, Rule 11 of C.P.C.