- 1 - NC: 2025:KHC:4553 CMP No. 46 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.46 OF 2024 BETWEEN: M/S. BAGHA HOSPITALITY SERVICES L.L.P. A LIMITED LIABILITY PARTNERSHIP REGISTERED UNDER LIMITED LIABILITY PARTNERSHIP ACT, 2008 HAVING ITS REGISTERED OFFICE AT NO.2559, B SECTOR YELAHANKA NEW TOWN BENGALURU-560 064 REPRESENTED BY ITS PARTNER: AMITH RAJ …PETITIONER (BY SRI.CHINTAN CHINNAPPA, ADVOCATE) AND: 1. M/S.FEDORAS FACILITY SERVICES PVT. LTD., NO.734, 1ST BLOCK 2ND CROSS, HRBR LAYOUT BANASWADI, BENGALURU-560043 REPRESENTED BY ITS DIRECTOR MR. RAVI KUMAR. J 2. MRS.PADMINI GHODKE 937, APARTMENT NO.101 2ND K CROSS, 9TH MAIN ROAD 1ST BLOCK, HRBR LAYOUT BANASWADI Digitally signed by AL BHAGYA Location: HIGH COURT OF KARNATKA - 2 - NC: 2025:KHC:4553 CMP No. 46 of 2024 KALYAN NAGAR BENGALURU-560 043 3. MR. BHARANI DHARAN 937, APARTMENT NO.102 2ND K CROSS, 9TH MAIN ROAD 1ST BLOCK, HRBR LAYOUT BANASWADI, KALYAN NAGAR BENGALURU-560 043 4. MR.S.A.KALEEM 937, APARTMENT NO.201 2ND K CROSS, 9TH MAIN ROAD 1ST BLOCK, HRBR LAYOUT BANASWADI, KALYAN NAGAR BENGALURU-560 043 5. MS.HELEN ROSE 937, APARTMENT NO.202 2ND K CROSS, 9TH MAIN ROAD 1ST BLOCK, HRBR LAYOUT BANASWADI, KALYAN NAGAR BENGALURU-560 043 6. MS.IRUDAYA MARY 937, APARTMENT NO.202 2ND K CROSS, 9TH MAIN ROAD 1ST BLOCK, HRBR LAYOUT BANASWADI, KALYAN NAGAR BENGALURU-560 043 7. MS.JASMINE 937, APARTMENT NO.202 2ND K CROSS, 9TH MAIN ROAD 1ST BLOCK, HRBR LAYOUT BANASWADI, KALYAN NAGAR BENGALURU-560 043 - 3 - NC: 2025:KHC:4553 CMP No. 46 of 2024 8. MR.KANTHAR REUBEN 937, APARTMENT NO.301, 2ND K CROSS, 9TH MAIN ROAD 1ST BLOCK, HRBR LAYOUT BANASWADI, KALYAN NAGAR BENGALURU-560 043 9. MR. BHASKAR. A 937, APARTMENT NO.101 2ND K CROSS, 9TH MAIN ROAD 1ST BLOCK, HRBR LAYOUT BANASWADI, KALYAN NAGAR BENGALURU-560 043 …RESPONDENTS (R.2, R.3, R.4, R.5, R.6, R.8 AND R.9 - SERVED; SERVICE OF NOTICE TO R.1 AND R.7 IS HELD SUFFICIENT V/O/D 17.01.2025) THIS CIVIL MISC. PETITION IS FILED UNDER SEC.11(6) OF THE ARBITRATION AND CONCILIATION ACT 1996, PRAYING THAT THIS HONBLE COURT BE PLEASED TO APPOINT THE SOLE ARBITRATOR IN TERMS OF THE CLAUSE 21(A) OF THE LEASE DEED DATED 14/10/2020 VIDE ANNEXURE-D TO RESOLVE THE DISPUTES THAT HAVE ARISEN BETWEEN THE PARTIES AND ALSO PASS SUCH OTHER DIRECTIONS OR ORDERS AS THIS HON'BLE COURT MAY DEEM FIT AND NECESSARY IN THE CIRCUMSTANCES OF THE CASE AND IN THE INTEREST OF JUSTICE AND EQUITY AND ETC. THIS PETITION, COMING ON FOR FURTHER HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: - 4 - NC: 2025:KHC:4553 CMP No. 46 of 2024 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 (for short '1996 Act') seeking to appoint the sole Arbitrator in terms of Arbitration Clause 21(A) of the Lease Deed dated 15.10.2020 to resolve the dispute between the petitioner and respondents. 2. After issuance of notice to the respondents, the respondents have not chosen to contest the proceedings. 3. The petitioner, acting as the Power of Attorney Holder for Mr.Chinthamani Venkatappa Muniraju, who is a Senior Citizen and the absolute owner of the Schedule 'A' property, entered into a Lease Deed dated 15.10.2020 with respondent No.1. Under the terms of the said Lease Deed, the petitioner, in the capacity of the Lesser, leased out the Schedule 'A' property to respondent No.1 for a mutually agreed lease period of 36 months. The lease - 5 - NC: 2025:KHC:4553 CMP No. 46 of 2024 term was structured into three consecutive terms of 11 months each, totaling 33 months, commencing from 15.10.2020. The lease arrangement was governed by the conditions explicitly stated in the Lease Deed, including provisions regarding rent, obligations of the lessee, and dispute resolution mechanisms. 4. The petitioner now approaches this Court on the basis of the Lease Deed dated 15.10.2020, seeking enforcement of the terms agreed upon therein. Clause 21(A) of the Lease Deed contains a binding Arbitration Clause, which mandates that any disputes arising between the parties in relation to the lease shall be referred to arbitration. In view of certain breaches of the Lease Deed on the part of the respondents, particularly in relation to arrears of rent and other obligations, the petitioner issued a formal legal notice dated 19.06.2023, marked as Annexure-E, calling upon the respondents to comply with the agreed terms. The said notice specifically required the respondents to fulfill their contractual obligations under - 6 - NC: 2025:KHC:4553 CMP No. 46 of 2024 the Lease Deed, including the payment of outstanding rent dues to the petitioner. 5. Despite the issuance of the notice dated 19.06.2023, the respondents failed to respond or take any steps to address the petitioner’s concerns. Consequently, invoking Clause 21(A) of the Lease Deed, the petitioner issued a second legal notice on 09.11.2023, formally nominating an Arbitrator to resolve the dispute between the parties. This notice was served in accordance with the arbitration clause, thereby signifying the petitioner's adherence to the contractual dispute resolution process. However, the respondents did not take any initiative to engage in arbitration proceedings or comply with their obligations under the Lease Deed, thus necessitating the intervention of this Court. 6. Upon a meticulous examination of the contents of the petition and the supporting documents submitted as annexures, this Court is satisfied that the petitioner has duly adhered to all procedural and substantive - 7 - NC: 2025:KHC:4553 CMP No. 46 of 2024 requirements as prescribed under Section 11(4) of 'the Act.' The petitioner has properly invoked the arbitration mechanism stipulated in the Lease Deed and has exhausted all necessary preconditions before seeking judicial intervention. In view of the non-compliance by the respondents and their failure to respond to the notices issued, this Court finds it appropriate to appoint an Arbitrator to adjudicate the disputes between the parties in accordance with the terms of the Lease Deed and the governing legal provisions. 7. In the light of the above said arbitration Clause, contentions advanced by the petitioner and even in absence of contest by the respondent, this Court proceeds to pass the following; ORDER (i) The Civil Miscellaneous Petition is allowed, appointing Sri.Vishwanath V Angadi, retired District and Sessions Judge, as the sole Arbitrator to resolve the dispute between the petitioner and - 8 - NC: 2025:KHC:4553 CMP No. 46 of 2024 respondents in terms of the Clause No.21(A) of the Lease Deed dated 15.10.2020 (Annexure-D) 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.Vishwanath V Angadi, 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.: 6