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2026 DAILYLAW 6407 (HP)

DIVISIONAL MANAGER HPSFDCL v. SHYAMA NAND

ARB.C/125/2025 · 2026-03-06

Gurmeet Singh Sandhawalia

body2026

Judgment text

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( 2026:HHC:6543 ) IN THE HIGH COURT OF HIMACHAL PRADESH, SHIMLA Arb. Case No.125 of 2025 Date of Decision:- 06.03.2026 Divisional Manager, HPSFDC Ltd. ....Petitioner Versus Shyama Nand ....Respondent Coram The Hon’ble Mr. Justice G.S. Sandhawalia, Chief Justice Whether approved for reporting?1 For the Petitioner : Ms. Kiran Dhiman and Ms. Himani Verma, Advocates. For the Respondent : Mr. Amit Himalvi, Advocate. G.S. Sandhawalia, Chief Justice (Oral). The present petition has been filed under Section 11(6) of the Arbitration and Conciliation Act, 1996 for appointment of an Arbitrator for adjudication of the matter on the basis of the agreement dated 31.08.2010 (Annexure P-1). 2. Apparently, the respondents bid had been accepted vide Lot No.7/2008-12 (Manji Ban) and was allotted the tender. 3. The Corporation as such had referred the matter to the Managing Director (South), HPSFDC, Ltd., Shimla on 22.10.2019 (Annexure P-4) and the arbitral proceedings were initiated before the said Arbitrator. The Arbitrator-cum-Director 1 Whether reporters of Local Papers may be allowed to see the judgment? 2 (South), HPSFDC Ltd., Shimla vide letter dated 19.06.2024 (Annexure P-6) had requested that this Court needed to be approached, keeping in view the provisions of the Arbitration and Conciliation Act, 1996 and resultantly notice was issued. 4. The respondent also seeks the benefit of release of 30% of the remaining amount due to the respondent which comes to the tune of Rs.9,54,960/- and which is stated to be illegally withheld by the Corporation without any justifiable reasons which is against the claim of the Corporation of Rs.9,81,563/-. 5. In such circumstance, since there is a dispute inter se the parties and the respondent had also filed the claim before the Arbitrator and the official had been duly appointed, this Court is of the considered opinion, keeping in view the fact that the parties having agreed to the terms of the agreement, therefore, the matter is liable to be settled by way of the forum which the parties had agreed to resolve the matter by way of arbitration. 6. Resultantly, the application is allowed and Mr. Atul Jhingan, Advocate present in the Court is appointed as an Arbitrator (Mobile No.9816208080) to adjudicate the dispute between the parties, after his disclosure in writing is obtained in 3 terms of Section 11(8) of the Act and only after receipt thereof, his appointment, as an Arbitrator, shall come into force. 7. On his giving consent to arbitrate the dispute between the parties as an Arbitrator, Mr. Atul Jhingan, Advocate shall enter into reference, and shall pass an award in accordance with law. 8. Copy of this order be furnished to the learned counsel for the parties and also be furnished to the learned Arbitrator. The learned Arbitrator so appointed shall be entitled to fee as per stipulation contained in 4th Schedule appended to the Arbitration and Conciliation Act, 1996. 9. Accordingly, the application is disposed of alongwith pending miscellaneous application(s), if any. (G.S. Sandhawalia) 6th March, 2026 Chief Justice (Munish Thakur)