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2025 DAILYLAW 173163 (ALL)

M/S MR DEVELOPERS LUCKNOW THRU PARTNER ATUL GOEL v. MERABO LABS PRIVATE LTD. JAIPUR

ARBT/74/2025 · 2025-10-30

Subhash Vidyarthi

body2025

Judgment text

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HIGH COURT OF JUDICATURE AT ALLAHABAD LUCKNOW CIVIL MISC. ARBITRATION APPLICATION No. - 74 of 2025 Court No. - 17 HON'BLE SUBHASH VIDYARTHI, J. 1. Heard Shri Dron Mishra, the learned counsel for the applicant. 2. The office has reported that the notice sent to the opposite party through registered post has been received back in the office with the endorsement 'refused' and this amounts to sufficient service. 3. By means of the instant application filed under Section 11(6) of the Arbitration and Conciliation Act, the petitioner is seeking appointment of an Arbitrator to adjudicate upon the dispute regarding non-payment of rent in lieu of three months notice in termination of lease and certain other dues arising out of an agreement dated 22.10.2021 between the parties. 4. Clause 11.7 and 11.8 of the aforesaid agreement contained in the petition reads as follows: "11.7. Jurisdiction: This Lease Deed shall be governed by and construed in accordance with the substantive laws of India without giving effect to the principles of conflict of laws thereunder. Subject to Clause 11.8 herein below, the Courts at Barabanki shall have exclusive jurisdiction over matters relating to this Lease Deed. The Parties agree to use all reasonable endeavours to settle any dispute or difference that arises between them concerning construction, meaning or effect of this Lease Deed or any part thereof, or of the respective rights or liabilities herein contained ("Dispute") amicably. If a Dispute is not resved within 30 (thirty) days after written notice of a Dispute by one Party to the other, then the provisions of Clause 11.8 shall apply. 11.8. Dispute Resolution: Any Dispute that is not settled by the Parties in the manner set out under Clause 11.7 above shall be finally settled by arbitration in accordance with the Arbitration and Conciliation Act, 1996, as amended or modified, or any statutory replacement thereof, by reference to a sole arbitrator, who shall be mutually appointed by both Parties. The decision of the arbitrator Versus Counsel for Applicant(s) : Prashant Singh Gaur, Vikrant Singh Counsel for Opposite Party(s) : M/S Mr Developers Lucknow Thru Partner Atul Goel .....Applicant(s) Merabo Labs Private Ltd. Jaipur .....Opposite Party(s) shall be binding on both the parties. In the event the Parties are unable to mutually agree on the appointment of a sole arbitrator, the arbitration shall be conducted by a panel comprising of 3 (three) arbitrators, of which the Lessor and Lessee shall each be entitled to nominate 1 (one) arbitrator, and the third arbitrator shall be appointed by the two arbitrators so nominated and shall act as the chairman of the arbitral panel. Such arbitration shall be held at Bangalore and all proceedings of such arbitration shall be in the English language. The existence of any Dispute or the initiation or continuance of the arbitration proceedings shall not postpone or delay the performance by the Parties of their respective obligations under this Lease Deed." 5. The documents annexed with the petition indicate that the mandatory notice required under Clause 11.7 of the aforesaid agreement has not been issued by the applicant. 6. In these circumstances, there is no good ground to appoint Arbitrator under Section 11(6) of the Arbitration and Conciliation Act at this stage. 7. Accordingly, the application is dismissed leaving it open for the applicant to issue a notice under Clause 11.7 of the agreement dated 22.10.2021 and in case the petitioner's grievance is not redressed with the aforesaid mechanism contemplated in the agreement between the parties, the petitioner shall be at liberty to file a fresh application at the appropriate stage. October 30, 2025 -Amit K- ARBT No. 74 of 2025 2 (Subhash Vidyarthi,J.) Digitally signed by :- AMIT KUMAR High Court of Judicature at Allahabad, Lucknow Bench