{"id":204258,"date":"2018-10-26T14:00:31","date_gmt":"2018-10-26T08:30:31","guid":{"rendered":"https:\/\/www.scconline.com\/blog\/?p=204258"},"modified":"2018-10-26T12:42:33","modified_gmt":"2018-10-26T07:12:33","slug":"disputes-arising-out-of-an-agreement-containing-arbitration-clause-must-be-settled-through-arbitration","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2018\/10\/26\/disputes-arising-out-of-an-agreement-containing-arbitration-clause-must-be-settled-through-arbitration\/","title":{"rendered":"Disputes arising out of an agreement containing arbitration clause, must be settled through arbitration"},"content":{"rendered":"

Karnataka High Court:<\/strong> A Single judge bench comprising of Dinesh Maheshwari, J. while hearing a petition praying for the appointment of an arbitrator, ruled that if an agreement between parties provides for arbitration and a dispute arises therefrom then it must be settled through arbitration.<\/p>\n

The petitioner company, involved in exporting of fruit products, approached the respondent to process mangoes for export purpose. On respondent\u2019s assurance that it possessed the necessary machinery and expertise to process mangoes, an agreement was executed between the parties. However, respondent delayed in the process of unloading mangoes. Since the season was drawing to a close and there was a loss in business due to the delays caused by respondent, the petitioner gave it a concession for procuring mangoes on its own and a further concession for processing the rejections into mango pulp. But still the respondent did not take steps to procure mangoes and also failed to meet the quantity and quality of the finished product.<\/p>\n

Despite these lapses, the respondent raised an invoice which the petitioner refused to clear. In turn, the petitioner sent it a legal notice demanding payment for loss caused due to respondent\u2019s failure to meet its contractual obligations. Since respondent did not revert to the said notice, petitioner invoked arbitration clause of the agreement nominating an arbitrator and called upon respondent to do the same. Respondent\u2019s failure to even nominate an arbitrator, constrained the petitioner to file the instant petition.<\/p>\n

The limited aspect for the court\u2019s consideration was whether there existed an arbitration agreement between the parties. On perusal of the agreement executed between parties, the court noted that clause 5 of the said agreement provided that in case of disputes between parties not being settled amicably, the same would be settled in arbitration.<\/p>\n

It was held if a dispute between the parties cannot be resolved amicably and there is the failure to appoint an arbitrator, then in such a case, it is just and proper that an independent arbitrator be appointed to adjudicate upon and decide such dispute. Accordingly, the petition was disposed of by appointing a retired judge as an arbitrator.[Pellagic Food Ingredients (P) Ltd. v. Oceanic Edibles International Limited, Civil Miscellaneous Petition No. 300 of 2016, decided on 09-10-2018]<\/p>\n","protected":false},"excerpt":{"rendered":"

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meaning","author":"Editor","date":"October 14, 2022","format":false,"excerpt":"Delhi High Court: In a case filed by Panasonic India Private Limited (petitioner) seeking appointment of an arbitrator to adjudicate disputes which have arisen between the parties under a Distribution Agreement, Prateek Jalan, J., refuting the contentions of the respondent that the clause referring to arbitration uses the word \u201ccan\u201d,\u2026","rel":"","context":"In "Case Briefs"","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"Delhi High Court","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/06\/delhi_high_court.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/06\/delhi_high_court.jpg?resize=350%2C200&ssl=1 1x, 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of an agreement entered into between the parties, the arbitration agreement survives. Brief background of the case was that the respondent had entered\u2026","rel":"","context":"In "Case Briefs"","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":278787,"url":"https:\/\/www.scconline.com\/blog\/post\/2022\/11\/30\/jharkhand-high-court-legal-research-legal-update-arbitration-conciliation-act-1996-section-116-section-152-section-21\/","url_meta":{"origin":204258,"position":2},"title":"Jharkhand High Court | Maintainability of application under S. 11(6), Arbitration and Conciliation Act, 1996 for appointment of substitute arbitrator","author":"Editor","date":"November 30, 2022","format":false,"excerpt":"\u00a0 \u00a0 Jharkhand High Court: While allowing the application under Section 11(6), Arbitration and Conciliation Act, 1996 (Arbitration Act) for appointment of substitute arbitrator, a single judge bench of Sujit Narayan Prasad, J. held that since first arbitrator was appointed under Section 11(6) of the Arbitration Act after the applicant\u2026","rel":"","context":"In "Case Briefs"","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"Jharkhand High Court","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/11\/MicrosoftTeams-image38-1.jpg?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":34471,"url":"https:\/\/www.scconline.com\/blog\/post\/2016\/02\/03\/tiered-dispute-resolution-clauses-the-indian-picture\/","url_meta":{"origin":204258,"position":3},"title":"Tiered Dispute Resolution Clauses: The Indian Picture","author":"Sucheta","date":"February 3, 2016","format":false,"excerpt":"By Saurabh Bindal and Gunjan Chhabra","rel":"","context":"In "Op Eds"","block_context":{"text":"Op Eds","link":"https:\/\/www.scconline.com\/blog\/post\/category\/op-ed\/legal-analysis\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/02\/pic_blog1-886x590-1.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/02\/pic_blog1-886x590-1.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/02\/pic_blog1-886x590-1.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/02\/pic_blog1-886x590-1.jpg?resize=700%2C400&ssl=1 2x"},"classes":[]},{"id":264491,"url":"https:\/\/www.scconline.com\/blog\/post\/2022\/03\/26\/arbitration-6\/","url_meta":{"origin":204258,"position":4},"title":"Mere use of the word \u2018Arbitration\u2019 in the heading of an Agreement would mean existence of an arbitration agreement? Del HC elaborates","author":"Bhumika Indulia","date":"March 26, 2022","format":false,"excerpt":"Delhi High Court: Mukta Gupta, J., decided that mere use of word \u2018Arbitration\u2019 in the heading of an Agreement would not mean the existence of an arbitration agreement. Petitioner sought appointment of an Arbitrator for solving the disputes in relation to the software development arising out of the agreement between\u2026","rel":"","context":"In "Case Briefs"","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/01\/Delhi_New-logo.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/01\/Delhi_New-logo.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/01\/Delhi_New-logo.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/01\/Delhi_New-logo.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2022\/01\/Delhi_New-logo.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":253237,"url":"https:\/\/www.scconline.com\/blog\/post\/2021\/08\/26\/arbitration-act\/","url_meta":{"origin":204258,"position":5},"title":"Ker HC | Syllogistic scope of Ss. 11(5) and 11(6) of the Arbitration Act, 1996; HC unclouds the line","author":"Editor","date":"August 26, 2021","format":false,"excerpt":"Kerala High Court: Devan Ramachandran, J., held that parties to arbitration cannot nominate the arbitrator even if the Arbitration Agreement provides so. 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