2025:UHC:4693-DB 1 HIGH COURT OF UTTARAKHAND AT NAINITAL HON’BLE THE CHIEF JUSTICE MR. G. NARENDAR AND HON’BLE SRI JUSTICE ALOK MAHRA 9TH JUNE, 2025 A.O. NO. 168 OF 2025 M/s Manish Taxi Service Dehradun and another. .....Appellants. Versus The Airports Authority of India …..Respondent Counsel for the appellants : Mr. Jitendra Chaudhary, learned counsel. Counsel for the respondent : Mr. Sagar Kothari, learned counsel. JUDGMENT :(per Mr. G. Narendar, C.J.) Heard learned counsel for the appellant and learned counsel for the respondent. 2. The question, which arises for consideration in this Appeal, is:- “Whether the reason assigned by the Commercial Court for rejecting the Application is sustainable in the light of the provisions of sub-section (1) of Section 9 of the Arbitration and Conciliation Act, 1996?” 3. The short point that is canvassed is that the order on the Application preferred by the appellant invoking the provisions of Section 9 of the Arbitration and Conciliation Act, 1996 (for short “the Act”) is per se contrary to the provisions of sub-section (1) of Section 9 of the Act itself. 2025:UHC:4693-DB 2 4. Learned counsel for the respondent would invite the attention of the Court to the findings of the Commercial Court in Paragraph Nos. 16, 17, 18, 19 and 20 recorded in the impugned judgment. 5. On perusal of the same, it is seen that the Commercial Court has been carried away by the condition of contract, which mandates that the parties shall resort to mediation prior to instituting arbitral proceedings. In that view, the Trial Court has deemed it fit to reject the Application. 6. A bare reading of the provisions of sub-section (1) of Section 9 of the Act clearly belies the understanding drawn by the Commercial Court. Sub-section (1) enables a party to invoke the provisions of Section 9 on specific ground enumerated in Clauses i, ii (a) to (e) only. That being the case, the failure to invoke the mediation clause would not in any manner defeat the purpose and objective of the provisions of Section 9 of the Act. The purpose and objective of Section 9 is discernible in Clauses i, ii (a) to (e). The failure to initiate or ask for mediation cannot, in our considered opinion, be a ground to reject an Application invoking the provisions of Section 9 of the Act. There may be innumerable circumstances, where delay in considering 2025:UHC:4693-DB 3 the interim relief could render the very proceeding itself infructuous. In fact, counsel for the respondent would set out a similar defense. He would submit that the Application was directed against the respondents to restrain them from invoking the bank guarantee and encashing the same; that during the pendency, the bank guarantees have been invoked and in that view, the Appeal and the proceedings are rendered infructuous. This is exactly the scenario and circumstance, which cannot be permitted. If such a procedure is adopted, it would only facilitate the answering party to present a fait accompli to Court and would, thus, render the provisions of Section 9 nugatory. It is no more res integra and is settled law that the Court cannot interpret a provision in a manner, which would render any provision ineffective. 7. In that view of the matter, we are of the considered opinion the reasoning set out for rejecting the Application has no legs to stand and warrants interference at the hands of this Court. 8. Accordingly, the Appeal is allowed in part and the matter is remitted back to the concerned Court for consideration on merits. 9. There shall be no order as to costs. 2025:UHC:4693-DB 4 10. Pending application, if any, also stands disposed of accordingly. ________________ G. NARENDAR, C.J. _____________ ALOK MAHRA, J. Dt: 9th June, 2025 Rathour PRAVINDR A SINGH RATHOUR Digitally signed by PRAVINDRA SINGH RATHOUR DN: c=IN, o=HIGH COURT OF UTTARAKHAND, ou=HIGH COURT OF UTTARAKHAND, 2.5.4.20=23699ccc2fd40ad81b6fd13323779d9e3a eb1097d17dbb53d481cabd25946eed, postalCode=263001, st=UTTARAKHAND, serialNumber=1F65499E931DF71CDAF92A40CC6 179B8E010331BA695239171F906FD5C45C4E8, cn=PRAVINDRA SINGH RATHOUR Date: 2025.06.11 10:06:55 +05'30'