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2026 DAILYLAW 47922 (KAR)

SRI M VEMANNA v. BHANUPRIYA ASSOCIATES

CMP/239/2025 · 2026-01-29

Ashok S Kinagi

body2026

Judgment text

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- 1 - HC-KAR NC: 2026:KHC:5002 CMP No. 239 of 2025 C/W CMP No. 246 of 2025 CMP No. 429 of 2025 AND 1 OTHER IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 29TH DAY OF JANUARY, 2026 BEFORE THE HON'BLE MR. JUSTICE ASHOK S.KINAGI CIVIL MISC. PETITION NO. 239 OF 2025 C/W CIVIL MISC. PETITION NO. 246 OF 2025 CIVIL MISC. PETITION NO. 429 OF 2025 CIVIL MISC. PETITION NO. 430 OF 2025 IN CMP No. 239/2025 BETWEEN: 1. SRI. M VEMANNA S/O. LATE MUTHAPPA AGED ABOUT 65 YEARS, NO.74/2, SBM COLONY, CHUNCHAGHATTA, BENGALURU – 560 062. 2. SMT. R. YASHODA, W/O. VEMANNA AGED ABOUT 52 YEARS, NO.74/2, SBM COLONY, CHUNCHAGHATTA, BENGALURU – 560 062. 3. SRI. V. RAKESH S/O. SRI. M. VEMANNA, AGED ABOUT 33 YEARS, NO.74/2, SBM COLONY, CHUNCHAGHATTA, Digitally signed by SUNITHA K S Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2026:KHC:5002 CMP No. 239 of 2025 C/W CMP No. 246 of 2025 CMP No. 429 of 2025 AND 1 OTHER BENGALURU – 560 062. 4. SMT. V. SANDHYA SHREE W/O. SRL. V. RAKESH AGED ABOUT 31 YEARS, NO.74/2, SBM COLONY, CHUNCHAGHATTA, BENGALURU – 560 062. 5. MAST. C.R. DIGANTH S/O V. RAKESH AGED ABOUT 06 YEARS, NO.74/2, SBM COLONY, CHUNCHAGHATTA, BENGALURU – 560 062. SINCE MINOR REP BY FATHER SRI. V RAKESH 6. SRI.V. DEVRAJ S/O SRI. M. VEMANNA AGED ABOUT 29 YEARS, NO.74/2, SBM COLONY, CHUNCHAGHATTA, BENGALURU – 560 062. …PETITIONERS (BY SRI. DILIP KUMAR I.S, ADVOCATE) AND: BHANUPRIYA ASSOCIATES REGISTERED PROPRIETARY CONCERN, HAVING ITS REGISTERED OFFICE AT NO. 30, GANESH KRUPA, 6TH CROSS, NEW BANK COLONY, KONANAKUNTE, BENGALURU – 560 062. - 3 - HC-KAR NC: 2026:KHC:5002 CMP No. 239 of 2025 C/W CMP No. 246 of 2025 CMP No. 429 of 2025 AND 1 OTHER REP. BY ITS PROPRIETOR SRI. H. DEVARAJU S/O C. HANUMAPPA, PAN- AFEPH4935E. AADHAR NO. 939593176957 …RESPONDENT (BY SRI. RAVISHANKAR S, ADVOCATE) THIS CIVIL MISC. PETITION IS FILED UNDER SEC.11(5) OF ARBITRATION AND CONCILIATION ACT., PRAYING TO APPOINT A RETIRED JUDGE OF THE DISTRICT COURT OR THIS HONBEL COURT IN ACCORDANCE WITH CLAUSE 18 OF THE JOINT DEVELOPMENT AGREEMENT DATED 04.02.2022 AS PER ANNEXURE D TO ADJUDICATE THE DISPUTES BETWEEN THE PARTIES IN THE INTERESTS OF JUSTICE. IN CMP NO. 246/2025 BETWEEN: 1. SRI K CHANDRA @ CHANDRAPPA S/O. M KRISHNAPPA, AGED ABOUT 54 YEARS, NO.183, KRISHNAPPA BUILDING, CHUNCHAGHATTA VILLAGE, NEAR KONANAKUNTE, BENGALURU – 560 062. 2. SRI. P SAVITHA, W/O. K CHANDRA AGED ABOUT 45 YEARS, NO.183, KRISHNAPPA BUILDING, CHUNCHAGHATTA VILLAGE, NEAR KONANAKUNTE, BENGALURU – 560 062. 3. KUM. C. ANUSHA D/O. K CHANDRA - 4 - HC-KAR NC: 2026:KHC:5002 CMP No. 239 of 2025 C/W CMP No. 246 of 2025 CMP No. 429 of 2025 AND 1 OTHER AGED ABOUT 26 YEARS, NO.183, KRISHNAPPA BUILDING, CHUNCHAGHATTA VILLAGE, NEAR KONANAKUNTE, BENGALURU – 560 062. 4. KUM. C. SNEHA D/O. K CHANDRA AGED ABOUT 18 YEARS, NO.183, KRISHNAPPA BUILDING, CHUNCHAGHATTA VILLAGE, NEAR KONANAKUNTE, BENGALURU – 560 062. 5. MAST. C. SHOBITH SURYA S/O K. CHANDRA AGED ABOUT 16 YEARS, NO.183, KRISHNAPPA BUILDING, CHUNCHAGHATTA VILLAGE, NEAR KONANAKUNTE, BENGALURU – 560 062. SINCE MINOR REP BY FATHER SRI. K. CHANDRA @ CHANDRAPPA ...PETITIONERS (BY SRI. DILIP KUMAR I.S, ADVOCATE) AND: BHANUPRIYA ASSOCIATES REGISTERED PROPRIETARY CONCERN, HAVING ITS REGISTERED OFFICE AT No. 30, GANESH KRUPA, 6TH CROSS, NEW BANK COLONY, KONANAKUNTE, BENGALURU - 560 062. - 5 - HC-KAR NC: 2026:KHC:5002 CMP No. 239 of 2025 C/W CMP No. 246 of 2025 CMP No. 429 of 2025 AND 1 OTHER REP. BY ITS PROPRIETOR SRI. H. DEVARAJU S/O C. HANUMAPPA, PAN- AFEPH4935E. AADHAR NO. 939593176957 ...RESPONDENT (BY SRI. RAVISHANKAR S, ADVOCATE) THIS CIVIL MISC. PETITION FILED UNDER SEC.11(6) OF ARBITRATION AND CONCILIATION ACT 1996., PRAYING TO APPOINT A RETIRED JUDGE OF THE DISTRICT OURT OR THIS HONBLE COURT IN ACCORDANCE WITH CLAUSE 18 OF THE JOINT DEVELOPMENT AGREEMENT DATED 13.06.2022 AS PER ANNEXURE C TO ADJUDICATE THE DISPUTES BETWEEN THE PARTIES IN THE INTEREST OF JUSTICE. IN CMP NO. 429/2025 BETWEEN: 1. SRI. K. LAKSHMANA S/O. SRI. M. KRISHNAPPA, AGED ABOUT 58 YEARS, NO.182, KRISHNAPPA BUILDING, CHUNCHAGATTA VILLAGE, NEAR KONANAKUNTE, BANGALORE – 560 062. 2. SMT.R. ANITHA, W/O. K. LAKSHMANA AGED ABOUT 46 YEARS, NO.182, KRISHNAPPA BUILDING, CHUNCHAGATTA VILLAGE, NEAR KONANAKUNTE, BANGALORE – 560 062. - 6 - HC-KAR NC: 2026:KHC:5002 CMP No. 239 of 2025 C/W CMP No. 246 of 2025 CMP No. 429 of 2025 AND 1 OTHER 3. KUM. C.L. HARSHITHA D/O. K. LAKSHMANA AGED ABOUT 27 YEARS, NO. 182, KRISHNAPPA BUILDING, CHUNCHAGATTA VILLAGE, NEAR KONANAKUNTE, BANGALORE – 560 062. 4. KUM.C L. DEEKSHITH D/O. K. LAKSHMANA AGED ABOUT 22 YEARS, NO.182, KRISHNAPPA BUILDING, CHUNCHAGATTA VILLAGE, NEAR KONANAKUNTE, BANGALORE – 560 062. ...PETITIONERS (BY SRI. DILIP KUMAR I.S, ADVOCATE) AND: BHANUPRIYA ASSOCIATES REGISTERED PROPRIETARY CONCERN, HAVING ITS REGISTERED OFFICE AT No. 30, GANESH KRUPA, 6TH CROSS, NEW BANK COLONY, KONANAKUNTE, BENGALURU -560 062. REP. BY ITS PROPRIETOR SRI. H. DEVARAJU S/O C. HANUMAPPA, PAN: AFEPH4935E. AADHAR No. 939593176957 ...RESPONDENT (BY SRI. RAVISHANKAR S, ADVOCATE) - 7 - HC-KAR NC: 2026:KHC:5002 CMP No. 239 of 2025 C/W CMP No. 246 of 2025 CMP No. 429 of 2025 AND 1 OTHER THIS CIVIL MISC. PETITION IS FILED UNDER SEC.11(5) OF ARBITRATION AND CONCILIATION ACT 1996., PRAYING TO APPOINT A RETIRED JUDGE OF THE DISTRICT COURT OF THIS HONBLE COURT IN ACCORDANCE WITH CLAUSE 18 OF THE JOINT DEVELOPMENT AGREEMENT DATED 4.02.2022 (DOCUMENT 3) TO ADJUDICATE THE DISPUTES BETWEEN THE PARTIES IN THE INTERESTS OF JUSTICE. IN CMP NO. 430/2025 BETWEEN: 1. SRI. K NARAYANASWAMY S/O M. KRISHNAPPA AGED ABOUT 59 YEARS No. 181, KRISHNAPPA BUILDING CHUCHAGATTA, NEAR KONANAKUNTE BENGALURU – 560 062. 2. SMT. SUJATHA KRISHNAPPA W/O K. NARAYANASWAMY AGED ABOUT 56 YEARS No. 181,KRISHNAPPA BUILDNG CHUCHAGATTA NEAR KONANAKUNTE BENGALURU – 560 062. 3. SRI. N. GOVARDHAN S/O K. NARAYANASWAMY AGED ABOUT 31 YEARS No. 181, KRISHNAPPA BUILDING CHUNCHATTA, NEAR KONANAKUNTE - 8 - HC-KAR NC: 2026:KHC:5002 CMP No. 239 of 2025 C/W CMP No. 246 of 2025 CMP No. 429 of 2025 AND 1 OTHER BENGALURU – 560 086. ...PETITIONERS (BY SRI. DILIP KUMAR I.S, ADVOCATE) AND: BHANUPRIYA ASSOCIATES REGISTERED PROPRIETARY CONCERN, HAVING ITS REGISTERED OFFICE AT No. 30, GANESH KRUPA, 6TH CROSS, NEW BANK COLONY, KONANAKUNTE, BENGALURU -560 062. REP. BY ITS PROPRIETOR SRI. H. DEVARAJU S/O C. HANUMAPPA, PAN: AFEPH4935E. AADHAR No. 939593176957 ...RESPONDENT (BY SRI. RAVISHANKAR S, ADVOCATE) THIS CMP IS FILED UNDER SECTION 11(5) OF THE ARBITRATION AND CONCILIATION ACT, 1996 PRAYING TO APPOINT A RETIRED JUDGE OF THE DISTRICT COURT OR THIS HONBLE COURT IN ACCORDANCE WITH CLAUSE 18 OF THE JOINT DEVELOPMENT AGREEMENT DATED 04.02.2022 AT DOCUMENT 3 TO ADJUDICATE THE DISPUTE BETWEEN THE PARTIES IN THE INTEREST OF JUSTICE. THESE PETITIONS, COMING ON FOR ADMISSION, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: - 9 - HC-KAR NC: 2026:KHC:5002 CMP No. 239 of 2025 C/W CMP No. 246 of 2025 CMP No. 429 of 2025 AND 1 OTHER CORAM: HON'BLE MR. JUSTICE ASHOK S.KINAGI ORAL ORDER The petitioners filed this petition under Section 11(6) of the Arbitration and Conciliation Act, 1996 (for short ‘the Act of 1996’), to appoint an Arbitrator to resolve the dispute between the petitioners and the respondent in terms of Clause 18 of the Joint Development Agreement dated 04.02.2022 vide Annexure-D. 2. Brief facts, leading rise to the filing of these petitions are as follows: The petitioners are the absolute owners of the residential converted lands bearing old Sy.No.3/2, new Sy.No.3/2 measuring 3 acres 36.13 guntas situated at Uttari Village, Uttarahalli Hobli, Bangalore South. The respondent represented himself as developer, expressed his intention to develop the said land and issued a boucher promising the same would be implicated in the land of the - 10 - HC-KAR NC: 2026:KHC:5002 CMP No. 239 of 2025 C/W CMP No. 246 of 2025 CMP No. 429 of 2025 AND 1 OTHER petitioners, and both the petitioners and respondent have entered into joint development agreement dated on 04.02.2022. The petitioners executed a general power of attorney in favour of the respondent on the same day. Such being the case, the respondent has failed to perform his part of contract in terms of joint development agreement. There is an arbitration clause in the joint development agreement. The petitioners invoked an arbitration clause by issuing a notice dated 28.12.2024. The said notice was served on the respondent. Despite the service of a notice, the respondent did not reply to the arbitration notice. Hence, these petitions. 3. Despite granting sufficient opportunity, the respondent has not filed the statement of objections. 4. Heard the arguments of the learned counsel for the petitioners, and also the learned counsel for the respondent. - 11 - HC-KAR NC: 2026:KHC:5002 CMP No. 239 of 2025 C/W CMP No. 246 of 2025 CMP No. 429 of 2025 AND 1 OTHER 5. The learned counsel for the petitioners submits that the petitioners and respondent entered into a joint development agreement, and the respondent committed a breach of terms and conditions of the joint development agreement. He submits that the dispute arose between the petitioners and respondent and the same has to be resolved through an arbitration. Therefore, he submits that the petitioners involved an arbitration clause by issuing a notice dated 28.12.2024. Hence, on these grounds, he prays to allow these petitions. 6. Learned counsel for the respondent orally objected by stating that there is no arbitral dispute which arose between the petitioners and respondent. Hence, he prays to dismiss these petitions. 7. Perused the records, and considered the submissions of the learned counsel for the parties. - 12 - HC-KAR NC: 2026:KHC:5002 CMP No. 239 of 2025 C/W CMP No. 246 of 2025 CMP No. 429 of 2025 AND 1 OTHER 8. The point, that would arise for consideration is as follows: “Whether the petitioners have made out a ground to refer the dispute to the arbitrator in terms of clause No.18 of the Joint Development Agreement dated 04.02.2022 as per the provisions of Arbitration and Conciliation Act, 1996?” 9. It is an undisputed fact that the petitioners and respondent have entered into joint development agreement and the petitioners also executed a general power of attorney in favour of the respondent on 04.02.2022. The respondent has committed a breach of terms of contract. The petitioners invoked an arbitration clause by issuing a notice dated 28.12.2024 proposing the name of the arbitrator. I have perused the joint development agreement. 10. The petitioners have produced the Joint Development Agreement, which discloses that there is an arbitration clause i.e., clause No.18, which reads as follows: - 13 - HC-KAR NC: 2026:KHC:5002 CMP No. 239 of 2025 C/W CMP No. 246 of 2025 CMP No. 429 of 2025 AND 1 OTHER 18. ARBITRATION: In the event of any dispute arising between the parties in regard to this agreement or any matter connected therewith, the same shall be referred to an Arbitrator to be appointed by both the parties with mutual consent and the Arbitrator shall dispose of the dispute as per the provisions of the Arbitration & Conciliation Act, 1996. 11. It is evident that there is an arbitration clause, and according to it, if the dispute arises between the petitioners and respondent, the said dispute has to be resolved through an arbitration. The arbitral dispute between the petitioners and the respondent arose and the same has to be resolved through arbitration. In view of the above discussion, the petitioners have made out a ground to refer the dispute to the arbitration for the forgoing discussion, I answer the point in the affirmative. 10. Accordingly, I proceed to pass the following: ORDER i. The Civil Miscellaneous Petitions are allowed. - 14 - HC-KAR NC: 2026:KHC:5002 CMP No. 239 of 2025 C/W CMP No. 246 of 2025 CMP No. 429 of 2025 AND 1 OTHER ii. Shri Laxman Rao Miskin, learned Retired District Judge is nominated as arbitrator to resolve the dispute between the petitioners and respondent as per the provisions of Arbitration and Conciliation Act, 1996 and the Rules. iii. The Registry is directed to communicate a copy of this order to the learned Arbitrator and the Director of the Arbitration and Conciliation Centre, Bengaluru. iv. The Registry is directed to return the original/certified copy to the petitioners after retaining the photocopy of the same. v. Pending applications, if any, stands disposed off accordingly. Sd/- (ASHOK S.KINAGI) JUDGE SSB CT: BHK