- 1 - NC: 2025:KHC:986 CMP No. 66 of 2024 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 10TH DAY OF JANUARY, 2025 BEFORE THE HON'BLE MR JUSTICE SACHIN SHANKAR MAGADUM CIVIL MISC. PETITION NO.66 OF 2024 BETWEEN: M/S PHALADA AGRO RESEARCH FOUNDATION PRIVATE LIMITED A COMPANY INCORPORATED UNDER THE COMPANIES ACT, 1956 HAVING ITS REGISTERED OFFICE AT NO.92/5, KANNALLI SEEGEHALLI CROSS MAGADI ROAD BANGALORE - 560 091 REPRESENTED HEREIN BY ITS AUTHORIZED SIGNATORY MR. MANJUNATH …PETITIONER (BY SRI.KASHYAP N NAIK, ADVOCATE) AND: M/S BHARATH PRASAD ENTERPRISES A SOLE PROPRIETORSHIP CONCERN HAVING ITS OFFICE AT NO.1 BHARATH PRASAD FLOUR MILL NEAR SHAMBHAVI TENT HOUSE OPPOSITE UDUPI KITCHEN SUMANGALI SEVA ASHRAMA ROAD CHOLANAYAKANAHALLI MAIN ROAD Digitally signed by AL BHAGYA Location: HIGH COURT OF KARNATKA - 2 - NC: 2025:KHC:986 CMP No. 66 of 2024 R.T NAGAR MAIN ROAD BANGALORE - 560 032 REPRESENTED BY ITS SOLE PROPRIETOR MR.BHARATH PRASAD ALSO AT NO.312, 1ST MAIN, 4TH CROSS YAGAPPA, R/O V.NAGENAHALLI RT NAGAR POST BANGALORE - 560 032 …RESPONDENT (SERVED) THIS CIVIL MISC. PETITION IS FILED UNDER SEC.11(6) OF THE ARBITRATION AND CONCILIATION ACT 1996, PRAYING THAT THIS HONBLE COURT MAY BE PLEASED TO APPOINT HONBLE SHRI.RADHAKRISHNA HOLLA, RETD., DISTRICT AND SESSIONS JUDGE OR ANY OTHER PERSON THAT THIS HONBLE COURT MAY DEEM FIT, AS THE SOLE ARBITRATOR TO ADJUDICATE THE DISPUTES THAT HAVE ARISEN BETWEEN THE PARTIES OUT OF THE AGREEMENT FOR APPOINTMENT OF DISTRIBUTOR DATED 05/01/2018 (ANNEXURE-A) AND AS PER CLAUSE VIII OF THE AGREEMENT HEREIN AND ETC. THIS PETITION, COMING ON FOR ADMISSION, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR JUSTICE SACHIN SHANKAR MAGADUM ORAL ORDER This Civil Miscellaneous Petition is filed under Section 11(6) of the Arbitration and Conciliation Act, 1996 - 3 - NC: 2025:KHC:986 CMP No. 66 of 2024 (for short ‘the Act’) seeking to appoint Sri.Radhakrishna Holla, the retired District and Sessions Judge as sole Arbitrator in terms of Clause VIII of the Agreement dated 05.01.2018 to resolve the dispute between the petitioner and respondents. 2. The petitioner, a company engaged in providing end-to-end solutions for organic agriculture, had the respondent company as a distributor for its products. The respondent maintained a running account with the petitioner but failed to adhere to the 25-day credit period for payments. Despite repeated reminders from the petitioner regarding the outstanding balance of Rs.7,12,121/-, the respondent issued a cheque (No.436266) for Rs.3,50,000/-, which was subsequently dishonored due to "Insufficient funds." 3. After issuance of notice, the contesting respondent has not chosen to contest this petition. 4. Heard learned counsel for the petitioner. - 4 - NC: 2025:KHC:986 CMP No. 66 of 2024 5. It is undisputed that the parties have entered into a valid and binding agreement for the appointment of a Distributor. The terms of the Agreement explicitly provide that in the event of any dispute arising between the parties, such disputes shall be resolved through arbitration. The Agreement further mandates that the arbitration process is to be initiated by referring the matter to an Arbitrator as per the terms set out therein. 6. In compliance with this provision, the petitioner, upon the emergence of a dispute, issued a legal notice dated 19.11.2022, thereby invoking the Arbitration Clause contained within the Agreement. Through this legal notice, the petitioner formally expressed their intention to resolve the dispute via arbitration and also proposed the appointment of a sole Arbitrator for this purpose. 7. Despite being served with the legal notice, the respondent has failed to provide any reply or response to the invocation of the Arbitration Clause. Consequently, the petitioner, having exhausted other options, has - 5 - NC: 2025:KHC:986 CMP No. 66 of 2024 approached this Hon’ble Court by filing the present Civil Miscellaneous Petition under the relevant provisions of 'the Act.' 8. This Court has thoroughly examined the contents of the petition and carefully scrutinized the annexures submitted alongside. Upon such examination, this Court is satisfied that the petitioner has complied with all procedural and substantive requirements as stipulated under Section 11(4) of 'the Act'. The petitioner has duly invoked the arbitration mechanism in accordance with the Agreement and has fulfilled all necessary preconditions for seeking the intervention of this Court to appoint an Arbitrator. 9. In the light of the above said arbitration Clause and in absence of contest by the respondents, this Court proceeds to pass the following; ORDER (i) The Civil Miscellaneous Petition is allowed, appointing Shri.Radhakrishna Holla, retired District and Sessions - 6 - NC: 2025:KHC:986 CMP No. 66 of 2024 Judge, as the sole Arbitrator to resolve the dispute between the petitioner and respondent in terms of the Clause VIII Agreement for Appointment of Distributor dated 05.01.2018 (Annexure-A) to the petition. (ii) All contentions are kept open for adjudication in the arbitration proceedings. (iii) The Office is directed to communicate this order to the Arbitration and Conciliation Centre and Sri.Radhakrishna Holla, retired District and Sessions Judge, as required under the Arbitration and Conciliation Centre Rules, 2012. SD/- (SACHIN SHANKAR MAGADUM) JUDGE NBM List No.: 1 Sl No.: 13