Extracted from the PDF above. The PDF is authoritative.
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NC: 2025:KHC:4552 CMP No. 421 of 2024
IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 31ST DAY OF JANUARY, 2025 BEFORE THE HON'BLE MR JUSTICE SACHIN SHANKAR MAGADUM
CIVIL MISC. PETITION NO.421 OF 2024
BETWEEN:
M/S.BODHI PROJECTS A PARTNERSHIP FIRM REGISTERED UNDER THE PARTNERSHIP ACT HAVING ITS REGISTERED OFFICE AT NO.605, MAIN ROAD, AECS LAYOUT KUNDANAHALLI, BENGALURU 560 037 REPRESENTED BY ITS PARTNER SRI.NANDEESH KUMAR JAIN …PETITIONER (BY SRI. RAJASHEKAR S, ADVOCATE) AND:
1.
M/S. GOOD FOOD PROJECTS LLP NO. 64, RAILWAY PARALLEL ROAD KUMARA PARK WEST BENGALURU - 560 020 REP BY ITS DESIGNATED PARTNER MR. V. RAGHAVENDARA
2.
M/S KARNATAKA CO-OPERATIVE MILK PRODUCERS FEDERATION LIMITED KMF COMPLEX, P.B.NO.2915 DR.M.H.MARIGOWDA ROAD BENGALURU - 560 029 REP. BY ITS DIRECTOR (ADMN)
Digitally signed by AL BHAGYA Location: HIGH COURT OF KARNATKA
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NC: 2025:KHC:4552 CMP No. 421 of 2024
3.
M/S GOOD BREAD LIMITED NO.12, C.K.PALYA ROAD HOMMADEVANAHALLI BANNERAGHATTA BENGALURU - 560 083 REP. BY ITS DESIGNATED PARTNER MR.SAGAR SETTY GOPAL
…RESPONDENTS (BY SRI.RAMESH P.KULKARNI, ADVOCATE FOR R.1;
SRI.SUMANTH L.BHARADWAJ, ADVOCATE FOR R.2 NOTICE TO R.3 IS D/W V/O/D 10.01.2025)
THIS CIVIL MISCELLANEOUS PETITION IS FILED UNDER SECTION 11(5) OF ARBITRATION AND CONCILIATION ACT, 1996 FOR THE APPOINTMENT OF SOLE ARBITRATOR, PRAYING THAT THIS HON'BLE COURT MAY BE PLEASED TO (A) APPOINT AN ARBITRATOR TO ADJUDICATE THE DISPUTE BETWEEN THE PARTIES AND ALLOW THE SAID ARBITRATOR TO ENTER UPON THE REFERENCE AND ADJUDICATE THE DISPUTE AND DIFFERENCES BETWEEN THE PARTIES ARISING OUT OF CLAUSE 24.4 OF THE QUADRIPARTITE AGREEMENT DATED 16.06.2023 VIDE ANNEXURE-A AND ETC.
THIS PETITION, COMING ON FOR FURTHER HEARING, 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(5) of the Arbitration and Conciliation Act, 1996
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NC: 2025:KHC:4552 CMP No. 421 of 2024
(for short ‘the Act’), requesting this Court to appoint a sole Arbitrator in terms of the Clause 24.4 of the Quadripartite Agreement dated 16.06.2023 vide Annexure-A.
2. After issuance of notice, the respondent has tendered appearance and has engaged a Lawyer.
3. The petitioner, engaged in manufacturing sweets and food products, entered into a Manufacturing and Packaging Agreement with the respondents on 29.09.2021, effective for 30 months. Under this agreement, the petitioner supplied two tons of sweets during Dasara Festival 2021. However, respondent No.2 failed to issue further work orders until February 2022, causing the petitioner a monthly loss of Rs.13,71,000/- in fixed expenses.
4. Subsequently, on 04.02.2023, respondent No.2 issued a fresh tender for manufacturing and supplying bakery products for two years. A Quadripartite Agreement was executed on 16.06.2023 among the petitioner,
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NC: 2025:KHC:4552 CMP No. 421 of 2024
respondents, and M/s.Good Bread Limited. Despite the agreement, respondent No.2 failed to place the committed orders, resulting in financial losses exceeding Rs.8 crores for the petitioner. A legal notice dated 17.06.2024 (Annexure-K) was issued, seeking consent for arbitrator appointment, but the respondents failed to respond, disregarding the petitioner’s rights. Hence this petition.
5. Heard learned counsel for the petitioner and
learned counsel for respondent Nos.1 and 2.
6. Learned counsel appearing for respondent Nos.1 and 2 fairly concedes in regard to existence of the Arbitration clause and requests this Court to appoint an Arbitrator to resolve the dispute between the parties.
7. Since there exists an arbitration clause, which is indicated in the Lease Deed and this factual matrix is conceded by respondent Nos.1 and 2, this Court is of the view that the petitioner has fulfilled the requirement as provided under Section 11 of the Act, 1966.
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NC: 2025:KHC:4552 CMP No. 421 of 2024
8. In the light of the aforesaid clause of arbitration and contentions advanced by the learned counsel for the petitioner, this court proceeds to pass the following;
ORDER
(i) The Civil Miscellaneous Petition is allowed, appointing Sri.Veeranna G Tigadi, retired District and Sessions Judge, as the sole Arbitrator to resolve the dispute between the petitioner and respondents in terms of the Clause No.24.4 of the Quadripartite Agreement dated 16.06.2023 (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.Veeranna G Tigadi, retired District and Sessions Judge, as required under the Arbitration and Conciliation Centre Rules, 2012.
SD/- (SACHIN SHANKAR MAGADUM) JUDGE
NBM List No.: 3 Sl No.: 8