- 1 - NC: 2025:KHC:15351 CMP No. 14 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 9TH DAY OF APRIL, 2025 BEFORE THE HON'BLE MR JUSTICE ASHOK S.KINAGI CIVIL MISC. PETITION NO. 14 OF 2025 BETWEEN: 1. AFFINIDI INDIA PRIVATE LIMITED (CIN U72900KA2020PTC168437) HD-224, GROUND FLOOR, WEWORK VAISHNAVI SIGNATURE, NO.78/9, OUTER RING ROAD, BELLANDUR VILLAGE, VARTHUR HOBLI, BENGALURU - 560 103. REP BY GIRIRAJ DAGA (DIRECTOR) …PETITIONER (BY SRI. NIKHIL K., ADVOCATE) AND: 1. SMARTWORKS COWORKING SPACES PRIVATE LIMITED (CIN U74900DL2015PTC310656) UNIT NO. 305-310, PLOT NO. 9, 10 and 11, VARDHAMAN TRADE CENTRE, NEHRU PLACE, NEW DELHI - 110 119. …RESPONDENT (BY SRI. SWAROOP S., ADVOCATE) THIS CMP IS FILED UNDER SECTION 11(5) OF THE ARBITRATION AND CONCILIATION ACT, 1996 PRAYING TO APPOINT A SOLE ARBITRATOR TO ADJUDICATE THE DISPUTES BETWEEN THE PETITIONER AND THE RESPONDENT ARISING OUT OF THE SUB Digitally signed by SUNITHA K S Location: HIGH COURT OF KARNATAKA - 2 - NC: 2025:KHC:15351 CMP No. 14 of 2025 LEASE AGREEMENT DATED 28.09.2022 AND THE ADDENDUM DATED 28.09.2023 CONTAINED IN ANNEXURE A AND B AS PER THE ARBITRATION CLAUSE OBTAINED THEREIN 93. IN CASE OF ANY DISPUTE, THE SAME SHALL BE REFERRED TO ARBITRATION UNDER ARBITRATION AND CONCILIATION ACT, 1996, THROUGH A SOLE ARBITRATOR MUTUALLY APPOINTED BY THE PARTIES AND ETC. THIS PETITION, COMING ON FOR ADMISSION, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR JUSTICE ASHOK S.KINAGI ORAL ORDER This Civil Miscellaneous Petition is filed under Section 11(5) of the Arbitration and Conciliation Act, 1996, for the appointment of an Arbitrator to resolve the dispute between the parties in terms of the Arbitration clause contained in Clause 93 of the Sub-lease Agreement dated 28.09.2022, and Addendum dated 08.03.2024. 2. Brief facts, leading rise to the filing of this petition are as follows: The petitioner, and respondent executed a Sub-lease Agreement for leasing of the premises at Vaishnavai Tech Park, Survey No.167/1 and 17/2, Ambalipura village, Varthur Hobli, Sarjapur Road, Bengaluru East Taluk, Bengaluru-560 103 on - 3 - NC: 2025:KHC:15351 CMP No. 14 of 2025 28.09.2022. The parties have executed an Addendum to the Sub-lease Agreement on 08.03.2024. The petitioner noted an unrepaired broken exterior glass window. Two hours of power outrage disrupted the petitioner's server operation, leading to financial losses. The petitioner issued a legal notice on 27.11.2024 invoking the Arbitration clause and proposed the name of Sri.Siddalingesh as the sole Arbitrator. The respondent replied to the Arbitration notice on 06.12.2024 rejecting the petitioner's nomination and proposed Sri.B.S.Tadahal retired District Judge, as an Arbitrator. The petitioner filed an application under Section 9 of the Arbitration and Conciliation Act, 1996, in Commercial Arbitration Application No.421/2024 before the Commercial Court, Bengaluru, seeking an interim protection. The application is pending. The petitioner has filed this petition seeking the appointment of an Arbitrator to resolve the dispute between the parties through an Arbitrator. Accordingly, prays to allow the petition. 3. Though, the respondent filed a statement of objections, the learned counsel for the respondent submits no objection to nominate an Arbitrator. - 4 - NC: 2025:KHC:15351 CMP No. 14 of 2025 4. Heard the arguments of learned counsel for the parties. 5. Perused the records, and considered the submissions of the learned counsel for the parties. 6. The point, that arises for consideration is: "Whether the petitioner made out a ground to refer the dispute to the Arbitrator to resolve the dispute between the parties in terms of clause 93 of sub-lease agreement dated 28.09.2022 as per provisions of Arbitration and Conciliation Act, 1996?" 7. There is no dispute regarding the execution of the sub- lease Agreement on 28.09.2022 and also the Addendum on 08.03.2024. The petitioner reported a broken exterior glass window, that remained unrepaired by the respondent. Further, a power outrage disrupted the petitioner's server operation leading to financial loss. The petitioner invoked the Arbitration clause by issuing an Arbitration notice under Section 21 of the Arbitration and Conciliation Act, 1996, on 27.11.2024, proposing the name of Sri.S.Siddalingesh, retired District and Sessions Judge, as the sole Arbitrator. The respondent replied - 5 - NC: 2025:KHC:15351 CMP No. 14 of 2025 to the Arbitration notice vide reply dated 06.12.2024, and rejected the petitioner's nomination, and proposed Sri.B.S.Tadahal, retired District and Sessions Judge as an Arbitrator. Meanwhile, the petitioner approached the Commercial Court, and filed an application under Section 9 of the Act of 1996 and the said application is still pending. 8. I have perused the sub-lease agreement dated 28.09.2022 and there is an Arbitration clause at clause 93, which reads as under: "In case of any dispute, the same shall be referred to arbitration under Arbitration and Conciliation Act, 1996, through a sole arbitrator mutually appointed by the parties. The award of the arbitrator shall be final and binding on the parties hereto. The arbitration shall be conducted in English language and the seat and venue of Arbitration shall be in Bengaluru, Karnataka." 9. Admittedly, there is an Arbitration clause in the Sub-lease Agreement dated 28.09.2022. The dispute has arisen between the petitioner and respondent, and the dispute has to be resolved by the sole Arbitrator in terms of Clause 93 of the sub- lease agreement vide Annexures - A and B. - 6 - NC: 2025:KHC:15351 CMP No. 14 of 2025 10. Learned counsel for the respondent submits no objection to allow the petition. 11. In view of the above discussion, I answer the point for consideration in the affirmative. Accordingly, I proceed to pass the following: ORDER (i) The Civil Miscellaneous Petition is allowed appointing Mr.I.S.Antin, retired District Judge as the sole Arbitrator to resolve the dispute between the parties as per the provisions of the Arbitration and Conciliation Act, 1996, and rules. (ii) The Office is directed to communicate this order to the learned Arbitrator, and the Arbitration and Conciliation Centre, Bengaluru. Sd/- (ASHOK S.KINAGI) JUDGE BNV List No.: 1 Sl No.: 14