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2025 DAILYLAW 68837 (KAR)

PADMANARAYANA REDDY CHERUKUPALLI v. M/S SANNIDHI BUILDERS

CMP/294/2023 · 2025-10-24

Suraj Govindaraj

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Judgment text

Extracted from the PDF above. The PDF is authoritative.

- 1 - HC-KAR NC: 2025:KHC:41966 CMP No. 294 of 2023 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 24TH DAY OF OCTOBER, 2025 BEFORE THE HON'BLE MR. JUSTICE SURAJ GOVINDARAJ CIVIL MISC. PETITION NO. 294 OF 2023 BETWEEN: 1. PADMANARAYANA REDDY CHERUKUPALLI S/O LATE PITCHI REDDY CHERUKUPALLI, AGED ABOUT 46 YEARS, RESIDING AT 25-2-511/1, SARASWATHI NAGAR, DARGAMITTA, NELLORE - 524 003. 2. VIDYASAGAR MARAMREDDY, S/O LATE RAMASUBBA REDDY MARAAMREDDY AGED ABOUT 47 YEARS, RESIDING AT VILLA NO.10, FORTUNE INDRA VILLAGE, GUTTLA BEGUMPET, MADHAPURA, KV RANGA REDDY, TELANAGANA - 560 102. 3. BP NARASA REDDY, S/O LATE B. PENCHALA REDDY, AGED ABOUT 37 YEARS, AND RESIDING AT 486, THYAGARAYA STREET, NEAR POST OFFICE, KAVARAIPETTAI, GUMMADIPOONDI TALUK, THIRUVALLUR DISTRICT, TAMILNADU - 601 206 …PETITIONERS (BY SRI. ABHINAY Y.T, ADVOCATE) Digitally signed by SHWETHA RAGHAVENDRA Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2025:KHC:41966 CMP No. 294 of 2023 AND: 1. M/S SANNIDHI BUILDERS A PARTNERSHIP FIRM HAVING ITS OFFICE AT FLAT NO. STF 1, L160 SV AKRUTHI, 3RD MAIN, 14TH CROSS, HSR LAYOUT, SECTOR 6, BENGALURU - 560 012 REPRESENTED BY ITS MANAGING PARTNER B. HARIKRISHNA REDDY. 2. B. HARIKRISHNA REDDY SON OF (LATE) B. VENKATARAMANA REDDY AGED ABOUT 52 YEARS NO. T-1, 4TH FLOOR, SRISHTI APARTMENT, BUILDING NO. 1007 17TH MAIN, 26TH CROSS, SECTOR 3, HSR LAYOUT, BENGALURU - 560 012 …RESPONDENTS (BY SRI. HARISH H.V, ADVOCATE) THIS CIVIL MISC. PETITION IS FILED UNDER SEC.11(b) OF THE ARBITRATION AND CONCILIATION ACT 1996 R/W CLAUSE 2 OF THE APPOINTMENT OF ARBITRATORS BY THE CHIEF JUSTICE OF KARNATAKA HIGH COURT SCHEME, 1996, PRAYING TO APPOINT AN INDEPENDENT ARBITRATOR TO HEAR AND DECIDE THE DISPUTES BETWEEN THE PETITIONERS AND RESPONDENT PURSUANT TO ARBITRATION CLAUSE 25 OF PARTNERSHIP DEED DATED 14/11/2015 VIDE ANNEXURE-A ENTERED INTO BETWEEN THE PARTIES, IN THE INTERESTS OF JUSTICE. - 3 - HC-KAR NC: 2025:KHC:41966 CMP No. 294 of 2023 THIS PETITION, COMING ON FOR ADMISSION, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE SURAJ GOVINDARAJ ORAL ORDER 1. The petitioners are before this Court seeking for the following relief: "WHEREFORE, the Petitioners respectfully pray that this Hon'ble Court may be pleased to appoint an independent arbitrator to hear and decide the disputes between the petitioners and respondent pursuant to arbitration clause 25 of partnership deed dated 14th of November 2015 Vide Annexure-A entered into between the parties, in the interests of justice." 2. The petitioners and respondent No.2 have entered into a partnership deed on 14.11.2015, which is governed by an arbitration clause in terms of Clause 25, which is reproduced hereunder: "25. If any dispute or difference shall arise between the parties hereto touching the business of the firm or interpretation of any provision hereof or otherwise, howsoever relating to the firm and its business, the same shall be referred to arbitration of an arbitrator if agreed upon, failing which to two or more arbitrators one to be appointed by each party to the dispute and the arbitration shall be governed by the Arbitration Act for the same being in force.." - 4 - HC-KAR NC: 2025:KHC:41966 CMP No. 294 of 2023 3. There being a dispute between the parties. The petitioner invoked the arbitration clause and issued a notice on 11.06.2023 nominating his arbitrator. Though the notice was served on the respondents however, the respondents did not accept the said nomination nor did the respondents nominated its arbitrator. Hence, the petitioner approached this Court seeking for the aforesaid reliefs. 4. The execution partition deed is not in dispute, and so also the existence of arbitration clause is not in dispute. Hence, I am of the considered opinion that invocation made of the said clause by the petitioner is proper and correct and an arbitrator would have to be appointed to adjudicate the dispute between the parties. 5. In that view of the matter, I pass the following: ORDER i) CMP is allowed. - 5 - HC-KAR NC: 2025:KHC:41966 CMP No. 294 of 2023 ii) Ms. Yadav Vanamala A, a former District Judge of the District Judiciary is appointed as a sole arbitrator to arbitrate the dispute between the parties under the aegis of the Arbitration Centre attached to this Court. iii) Registry is directed to forward a copy of this order to the Director, Arbitration and Conciliation Centre for doing the needful. iv) Since the order is passed in the presence of both the counsel, they shall appear before the Director, Arbitration and Conciliation Centre without requirement of any notice on 19.11.2025 at 2.30 p.m. SD/- (SURAJ GOVINDARAJ) JUDGE GJM List No.: 1 Sl No.: 10