1. Petitioner seeks appointment of an arbitrator to resolve the disputes arising out of partnership agreement dated 1.4.1997. It is not in dispute that said agreement contained an arbitration clause providing that if there is any dispute with respect to any of the clause of the agreement or in the working or management of the partnership firm, the dispute shall be resolved through the process of arbitration.
2. It is the case of the petitioner that the respondents tried to expel the petitioner from partnership firm, for which a notice dated 20.1.2011 was issued. It is also the case of the petitioner that the respondents were mis-managing the funds of the partnership firm and diverting the same unauthorizedly. On account of said developments, the petitioner issued a notice dated 15.7.2011 calling upon the respondents to agree for appointment of an arbitrator. The respondents did not reply to such notice, whereupon the petitioner approached this Court seeking appointment of an arbitrator under the provisions of the Arbitration and Conciliation Act,1996.
3. In response to the notice issued, respondents have appeared and filed affidavit. Only objection raised for appointment of an arbitrator is that according to respondents, there is no dispute between the parties.
4. Having heard learned counsel for the parties and having perused the documents and records, the sole objection of the respondents cannot be sustained. The petitioner has raised several disputes including the act of the respondents in expelling the petitioner from the partnership firm as also with respect to the management and control of the partnership firm. In that view of the matter, when the agreement between the parties contained a clause for arbitration, the request of the petitioner for appointment of an arbitrator is required to be accepted.
5. In the result, Hon'ble Mr. Justice C. K. Buch (Retd.) is requested to act as a sole arbitrator to resolve the dispute between the parties arising out of partnership agreement dated 1.4.1997.
6. Petition is disposed of accordingly.
(AKIL KURESHI, J.) (vipul) Top