Facts
The petitioner sought appointment of a sole arbitrator in disputes arising from a contract agreement dated 4 August 2021.
Source reference: p.1, para. 1The parties agreed to first explore settlement through mediation and, if mediation failed, to refer the disputes to arbitration.
Source reference: p.1, paras. 2–5The arbitration clause was contained in Clause 101 of the General Conditions of Contract.
Source reference: pp.2–3, para. 7The Court noted that the parties did not dispute the existence of a valid arbitration agreement.
Source reference: p.3, para. 8Issues
Whether a valid arbitration agreement existed between the parties, permitting the Court to appoint a sole arbitrator under Section 11 of the Arbitration and Conciliation Act, 1996.
Source reference: p.2, para. 6; p.3, para. 8Whether the parties’ disputes should first be referred to mediation and, if settlement failed, to arbitration.
Source reference: p.1, paras. 2–5; p.3, para. 9Law Applied
Under Section 11 of the Arbitration and Conciliation Act, 1996, the Court’s enquiry is confined to examining the prima facie existence of an arbitration agreement.
Source reference: p.2, para. 6Clause 101 of the parties’ contract provided for amicable settlement discussions followed by arbitration, and specified that the arbitration would be conducted by a sole arbitrator.
Source reference: pp.2–3, para. 7The Court also directed that the arbitrator furnish the disclosures required by Section 12(2) of the Act.
Source reference: p.4, para. 10Reasoning
The parties agreed to attempt mediation and also agreed that, if mediation failed, the disputes would proceed to arbitration.
Source reference: p.1, paras. 2–5The Court identified Clause 101 as the contractual arbitration agreement and, applying the limited prima facie enquiry under Section 11, found no dispute regarding its validity or existence.
Source reference: pp.2–3, paras. 6–8It therefore appointed a sole arbitrator, while making the appointment operative after the mediation report recorded failure of settlement.
Source reference: p.3, para. 9Holding
The Court referred the parties to the Delhi High Court Mediation and Conciliation Centre (Samadhan), directing them to appear on 13 October 2026 and allowing three weeks to explore settlement.
If mediation failed, Mr. Sonal Kumar Singh, Senior Advocate, was appointed sole arbitrator, to enter upon the reference within three weeks of the mediation report recording failure.
Source reference: p.3, para. 9The arbitration was directed to proceed under DIAC rules and fee schedule; the parties remained at liberty to raise their pleas before the arbitrator.
Source reference: p.4, paras. 10–13The petition was disposed of accordingly.
Source reference: p.4, para. 15Acts & Sections Cited
2 provisions across 1 statute referred to in this judgment. Each provision opens on LawLens.
Arbitration and Conciliation Act, 19962
Original Court PDF
M/S Day Night Furniture And Projects Pvt. Ltd.vsDlf Projects Ltd.
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