M/S SRR PROJECT PRIVATE LIMITED v. M/S KARNATAKA ANTIBIOTICS AND PHARMACEUTICALS LIMITED (KAPL)
CMP/38/2025 · 2025-06-09
B M Shyam Prasad
body2025
DailyLaw.ai
[ 2025 DAILYLAW 14521 (KAR) · dailylaw.ai ]
DailyLaw.ai
[ 2025 DAILYLAW 14521 (KAR) · dailylaw.ai ]
Judgment text
Extracted from the PDF above. The PDF is authoritative.
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HC-KAR NC: 2025:KHC:19370 CMP No. 38 of 2025
IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 9TH DAY OF JUNE, 2025 BEFORE THE HON'BLE MR JUSTICE B M SHYAM PRASAD CIVIL MISC. PETITION NO. 38 OF 2025 BETWEEN:
M/S SRR PROJECT PRIVATE LIMITED A COMPANY DULY INCORPORATED UNDER THE PROVISION OF THE COMPANIES ACT, 2013 HAVING ITS REGISTERED OFFICE AT PLOT NO.101, STREET NO.2, KAKATIYA HILLS, MADHAPUR, NEAR JUBILEE RIDGE HOTEL, HYDERABAD 500081 REPRESENTED BY ITS TECHNICAL DIRECTOR SRI. A. SUDHAKAR BABU …PETITIONER (BY MS. KRISHMA NEDUNGADI., ADVOCATE) AND:
M/S KARNATAKA ANTIBIOTICS AND PHARMACEUTICALS LIMITED (KAPL) A COMPANY DULY INCORPORATED UNDER THE PROVISION OF THE COMPANIES ACT, 2013 HAVING ITS REGISTERED OFFICE AT ARKA THE BUSINESS CENTRE, PLOT NO.37, NTTF MAIN ROAD, 2ND PHASE PEENYA, BENGALURU - 560058
Digitally signed by VANAMALA N Location: High Court of Karnataka
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HC-KAR NC: 2025:KHC:19370 CMP No. 38 of 2025
REPRESENTED BY ITS GENERAL MANAGER MR. SHAILESH KUMAR …RESPONDENT (BY SRI. RAJARAM T, ADVOCATE)
THIS CMP IS FILED UNDER SECTION 11(6) OF THE ARBITRATION AND CONCILIATION ACT, 1996 PRAYING TO APPOINT A SOLE ARBITRATOR TO ADJUDICATE THE DISPUTES BETWEEN THE PARTIES HEREIN ARISING OUT OF CLAUSE 3.3 OF THE CONTRACT AGREEMENT DATED 06.03.2023 HAVING NO. KAPL/BDP/SR/1725/001 AT ANNEXURE F-2.
THIS PETITION, COMING ON FOR ADMISSION, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:
CORAM: HON'BLE MR JUSTICE B M SHYAM PRASAD
ORAL ORDER
The petitioner relies upon the Contract Agreement dated 06.03.2023 executed with the respondent. The petitioner and the respondent have concluded this agreement with the respondent for construction of API Drug Facility at Ujjain, Madhya Pradesh. The petitioner and the respondent have agreed for resolution of disputes by arbitration, and this agreement for arbitration reads as under:
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HC-KAR NC: 2025:KHC:19370 CMP No. 38 of 2025
3.3 ARBITRATION ACT:
3.3.1 All disputes regarding the specifications, designs, drawing instructions and quality of work or quality of materials used for the work or any other matter relating to the work shall be referred to the sole arbitration to be appointed by KAPL. 3.3.2 The party invoking arbitration shall specify the dispute or disputes to be referred to arbitration under this together with the amount or amounts claimed in respect of each such dispute
3.3.3 The arbitrator may from time to time with consent of the parties extend the time, for making and publishing the award. 3.3.4 If possible, the work under the contract shall be continued during the arbitration proceedings and no payment due or payable to the contractor shall be withheld on account of such proceedings. 3.3.5 The Arbitrator shall be deemed to have entered on the reference on the date he issues notice to both the parties fixing the date of the first hearing. The arbitrator shall
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HC-KAR NC: 2025:KHC:19370 CMP No. 38 of 2025
give a separate award in respect of each dispute of difference referred to him. 3.3.6 The venue of arbitration shall be Bengaluru office at Karnataka Antibiotic & Pharmaceuticals Ltd.
3.3.7 The award of the Arbitrator shall be final, conclusive and binding on all parties relating to this contract. 3.3.8 The cost of arbitration shall be as decided by arbitrator."
The petitioner asserts that the respondent may have abandoned the construction but it is liable to pay to the tune of Rs. 12 Crores and above as against the invoices submitted and also answer the petitioner's claim for damages. This is strenuously disputed by the respondent. However, what remains salient is that there is a dispute which is arbitrable and the parties have agreed for adjudication of such dispute by arbitration.
The learned counsels for the parties are
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HC-KAR NC: 2025:KHC:19370 CMP No. 38 of 2025
heard, and with their consent, Hon'ble Mr. Justice V. Jagannathan, a former Judge of this Court is appointed as the Sole Arbitrator by the following:
ORDER
[a] The petition is allowed.
[b] Hon'ble Mr. Justice V. Jagannathan, a former Judge of this Court is appointed as the Sole Arbitrator to enter reference of the dispute between the petitioner and the respondent and conduct the proceeding at the Arbitration and Conciliation Centre (Domestic and International), Bengaluru according to the Rules governing the Centre.
[c] The Registry is
directed to communicate this order [by E-mail] to the Arbitration and Conciliation Centre (Domestic and International),
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HC-KAR NC: 2025:KHC:19370 CMP No. 38 of 2025
Bengaluru and also to the Hon'ble Mr. Justice V. Jagannathan, a former Judge of this Court, Address: PRIDE ENCHANTA, No.003, Ground Floor, 4TH Block, opposite to BHEL Main Gate, Mysore Road, Bengaluru - 560026 [E-mail ID - justice.vj@outlook.com] as required under the Appointment of Arbitrators by the Chief Justice of Karnataka High Court Scheme, 1996.
SD/- (B M SHYAM PRASAD) JUDGE
RB