Multi TV Tech Solution Pvt. Ltd. vs Intex Technologies (India) Limited

A sole Arbitrator was appointed by this Court to arbitrate on the dispute between the parties on 05 February 2018. His mandate terminated on 11 August 2019. The petitioner thereafter filed an application under Section 29A (4) of the Arbitration and Conciliation Act, 1996^{11.“the 1996 Act”, hereinafter}, before this Court on 14 November 2019, seeking extension of the mandate of the learned Arbitrator.

According to Ms. Sonali, learned Counsel for the petitioner, the Registry of this Court raised an objection on the ground of pecuniary jurisdiction, whereupon the petitioner withdrew the petition from the Registry and filed it before the District Court at Saket on 18 November 2019. Given the fact that the filing before the Saket District Court was within 4 days of the filing the matter before this Court, I have no reason to disbelieve Ms. Sonali’s submission that it was filed in Saket because of the objection raised by the Registry of this Court. The Saket District Court correctly observed that it has no jurisdiction to deal with the matter, whereupon the petitioner withdrew the petition on 27 October 2022 from the Saket District Court. It was re-filed in this Court on April 2023, but was in defects. There was considerable delay of 76 days in removing defects whereafter the matter was finally re-filed before this Court.

The petitioner has, clearly, been somewhat lackadaisical in prosecuting the present case, but cannot be said to have been so indolent as would justify rejection of the petition on that basis. Ordinarily, once arbitral proceedings commence, they ought to be permitted to continue to fruition.

Section 29A entitles the Court in an appropriate case to award costs.

Given the facts of the present case, I am of the opinion that the prayer for extension of the mandate of the Arbitrator deserves to be granted, subject however, to terms.

Accordingly, subject to the petitioner depositing cost of ₹ 15,000/- by way of a crossed cheque/ Demand Draft favouring the respondent with the Registry of this Court within a period of three weeks from today, the mandate of the Arbitral Tribunal shall stand extended presently by six months from today. The mandate of the Arbitral Tribunal shall be treated as continuing till today.

The petition is allowed in the aforesaid terms.