High Court · 2025

Arb.O.P.(Com.Div.) No.568 of 2025IN THE HIGH COURT OF JUDICATURE AT MADRASDATED : 27.10.2025CORAMTHE HONOURABLE Mr.JUSTICE N.ANAND VENKATESHArb.O.P.(Com.Div.) No.568 of 2025Tata Capital LimitedBy its Associate Legal Remedial R.KamalakkannanHaving its office at 1st Floor, Centennial Square6A, Dr.Ambedkar Salai, KodambakkamChennai 600 024.. PetitionerVsDNRS InfraconPlot No. 23C 2 DNRS InfraconIda Phase 1 Patancheru Sangareddy,Hyderabad Telangana-502319. .. RespondentPetition filed under Section 11(6) of the Arbitration and Conciliation Act, 1996, praying to appoint/substitute a sole Arbitrator to adjudicate upon the differences and disputes between the parties under the said agreement dated 22.11.2023 in respect of contract bearing No.TCFBL0453000012493389.For Petitioner: Mr.N.K.VananFor Respondent: No appearanceO R D E RThis petition has been filed under Section 11 of the Arbitration and Conciliation Act, 1996 (for brevity 'the Act') for appointment of a sole Arbitrator to adjudicate upon the differences/disputes between the petitioner and 1/6 https://www.mhc.tn.gov.in/judis Arb.O.P.(Com.Div.) No.568 of 2025the respondent under the said agreement dated 22.11.2023 in respect of contract bearing No.TCFBL0453000012493389.2. When the matter came up for hearing on 17.09.2025, this Court passed the following order:“This petition has been filed under Section 11 (6) of the Arbitration and Conciliation Act, 1996 [hereinafter referred to as the Act] to appoint a sole arbitrator to resolve the dispute between the parties vide the loan agreement dated 22.11.2023.2. The agreement provides for referring the dispute for Arbitration under clause 9 and the same is extracted hereunder:-9. Arbitration:- 9. ARBITRATION:If any dispute, difference or claim arises between any of the obligors and the lender in connection with the facility or as to the interpretation, validity, implementation or effect of the facility documents or as to the rights and liabilities of the parties under the facility documents or alleged breach of this facility documents or anything done or omitted to be done pursuant to the facility documents, the same shall be settled by arbitration by a sole arbitrator to be appointed by any of the following institutions:A) The Council for National and International Commercial Arbitration having its office at Unit No.208, 2ndFloor Beta wing, Raheja Towers, NCS 113-114, Anna Salai, Chennai-600002.B) Centre for Online Resolution of Disputes having its office at F-14, 3 rd Cross , Manyata Residency, Manyata Tech Park, Bengaluru-560045.C) The Centre for Alternative Dispute Excellence having its office at 107 C Mulberry Woods, Janata colony, Cameleram station Road, Dodd kanneli, Bengaluru-560035.D) ADR E-Sarvatra Private Limited having its office at 63, Palace Road, Vasanth Nagar, Bengaluru-560052E) Any arbitral institution designated under the provisions of the Arbitration or Conciliation Act, 1996 (the Act”) or any panel of arbitrators maintained under the provisions of that act.Hereinafter referred to as (“Institution”) in accordance with the rules of the Institution as prevailing and as amended from time to time.2/6 https://www.mhc.tn.gov.in/judis Arb.O.P.(Com.Div.) No.568 of 2025The arbitration proceedings shall be based on documents only which shall be conducted through exchange of e-mail and/or any other mode of electronic communication as permitted by the rules of the institution or through an online dispute revolution by the web portal offered by the institution. The parties hereby agree that the arbitral proceeding shall be conducted in electronic mode and all pleadings and documents will be exchanged electronically. There shall be no in person and/or oral hearings except in certain exceptional circumstances as the sole arbitrator may deem fit upon the request of either of parties in such instances, the hearings shall be conducted virtually at the sole discretion of the arbitrator. The seat of arbitration for all purposes shall be deemed to be at such place as mentioned in item No.14 of Annexure 1 of the Agreement. The language of arbitral proceedings shall be English. In the event the Arbitrator to whom the matter is originally referred resigns or dies or is unable to act for any reason, the Institution shall appoint another person in his/her place to act as arbitrator who shall proceed with the reference from the stage at which it was left by his/her predecessor.The arbitrator so appointed shall have the power to pass an award and also to pass interim orders/direction as may be appropriate to protect the interest of the parties pending resolution of the dispute. A certified copy to the award passed by the arbitrator, a digitally signed copy of the same or a scan copy of the same shall be sent to the parties through e-mail or any other electronic mode including the web portal as the institution deems fit which shall be considered as a singed copy.All notices, processes and communications between the parties with respect to the arbitration proceedings shall be through-mail or any other mode of communication permitted by the Institution notwithstanding the notice clause, contained in the Agreement which shall continue to apply to all other communication between the parties.It shall be the responsibility of the lender and Obligation to maintain sufficient space in the e-mail account and/or in any other mode of electronic accounts and also to have supporting applications/software in their computer/mobile/any other electronic device to access the electronic documents sent to them. It shall also be the responsibility of the Lender and Obligations to save the emails in the address book. The delivery of emails to spam, promotion etc shall also be a deemed delivery.The courts at such place as mentioned in item No14 of Annexure 1 of the Agreement shall have exclusive jurisdiction in respect of matters arising under this Agreement including any application for setting aside the award/appeal and the Lender/Obligations shall not object to such jurisdiction.3/6 https://www.mhc.tn.gov.in/judis Arb.O.P.(Com.Div.) No.568 of 2025The arbitration shall be conducted under the provisions of the Arbitration and Conciliation Act, 1996together with its amendments, any statutory modifications or re-enhancement thereof for the time being in force. The award of the arbitrator shall be final and binding on all parties concerned. The cost of arbitration shall be borne by the Borrower.3. The trigger notice under Section 21 of the Act was issued on 13.03.2025 and the same has also been received by the respondent. Since there was no response, the present petition has been filed before this Court.4. Notice to the respondents returnable by 13.10.2025. Private notice is also permitted.5. Post this case for hearing on 13.10.2025.”3. Pursuant to the above order, notice was served on the respondent and an affidavit of service was also filed. Though notice was served on the respondent, there is no appearance either in person or through counsel.4. Heard the learned counsel for the petitioner and perused the materials available on record.5. It is seen that there is a valid agreement between the parties in line with Section 7 of the Act and it contains an arbitration clause. In view of the same, this Court is inclined to appoint an arbitrator and accordingly, Ms.Narmadha Sampath, Advocate, residing at New No.30, Old No.88, 'AA' Block, Anna Nagar, Chennai - 600 040 (Mobile No.98841 11999), is appointed as the sole Arbitrator and the sole Arbitrator is requested to 4/6 https://www.mhc.tn.gov.in/judis Arb.O.P.(Com.Div.) No.568 of 2025adjudicate the arbitral disputes that had arisen between the parties and render an arbitral award by holding sittings in the Madras High Court Arbitration Centre under the aegis of this Court as per Madras High Court Arbitration Proceedings Rules, 2017 and fee of the sole Arbitrator shall be in accordance with the Madras High Court Arbitration Centre (MHCAC) (Administrative Cost and Arbitrator's Fees) Rules, 2017.Accordingly, this petition is disposed of.27.10.2025gya5/6 https://www.mhc.tn.gov.in/judis Arb.O.P.(Com.Div.) No.568 of 2025N.ANAND VENKATESH, J.gyaArb.O.P.(Com.Div.) No.568 of 202527.10.20256/6