Surja Kanto Bhar vs Sayantan Bhattasali And Ors on 9 June, 2025

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Calcutta High Court

Surja Kanto Bhar vs Sayantan Bhattasali And Ors on 9 June, 2025

Author: Shampa Sarkar

Bench: Shampa Sarkar

OC 21

                 IN THE HIGH COURT AT CALCUTTA
                          ORIGINAL SIDE
                      [COMMERCIAL DIVISION]

                         AP-COM/278/2025

                       SURJA KANTO BHAR
                              VS
                  SAYANTAN BHATTASALI AND ORS.


BEFORE:
The Hon'ble JUSTICE SHAMPA SARKAR
 Date : 9th June, 2025
                                                             Appearance:
                                        Mr. Shiv Shankar Banerjee, Adv.
                                                 Ms. Arijita Ghosh, Adv,
                                        Mr. Abhishek Chakraborty, Adv.
                                                        ... for petitioner.
                                                  Mr. Suman Basu, Adv.
                                             Ms. Debapriya Ghosh, Adv.
                                              ... respondent nos. 1 to 5.

1. This is an application for appointment of a learned Arbitrator

for adjudication of the dispute which has arisen between the

parties. The respondent nos. 1, 3, 4 and 5 are the promoters.

The respondent no.2 is one of the land owners. The

respondent no.1 although is engaged for the promotion of the

premises also has a share in the land.

2. The respondent nos. 1 to 5 are represented by Mr. Suman

Basu, learned Advocate.

3. The respondent nos. 6 and 7 have refused service.

4. Affidavit-of-service is taken on record. Thus, service upon the

respondent nos. 6 and 7 are treated as good service, in view of

the refusal.

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5. It appears that disputes had arisen between the parties in

respect of a development agreement. The said agreement

contains an arbitration clause, which states that all disputes

and differences including interpretation and construction of

the agreement shall be referred to the arbitration of two

independent arbitrators, one to be appointed by each party

and the umpire to be jointly appointed by the nominees of the

parties. The Courts of Chandernagore shall have the exclusive

jurisdiction to entertain, try and determine any application.

6. It appears that the cause of action has arisen within the

jurisdiction of this Court and this Court, as a referral Court,

can entertain this application. The issue with regard to

whether the dispute is a commercial or non-commercial one,

is already pending before the learned Commercial Court at

Rajarhat.

7. This Court is of the view that at the referral stage this Court is

not required to decide such issue. Thus, this question is kept

open. In any event, the dispute between the parties is covered

by an arbitration clause. The referral Court is only required to

refer the dispute to arbitration in terms of the clause without

expressing any opinion as to the maintainability, arbitrability,

admissibility, limitation etc. The question whether this is a

commercial dispute or not is also not relevant for the referral

Court to embark upon a discussion and deliberation thereof.

This issue can be decided at the appropriate stage.
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8. Under such circumstances, all issues raised by Mr. Basu,

including the fact that the disputes are not arbitrable and

premature, are kept open to be decided by the Tribunal.

9. A notice under Section 21 of the Said Act was issued and the

petitioner had nominated a learned Arbitrator. However, the

respondent did not agree to such proposal, and failed to reply

to the said notice. Both the parties submit before the Court

through their learned Advocates that a sole Arbitrator may be

appointed by the Court for settlement of the disputes as the

mechanisms provided in the agreement had failed. The

parties agree that a sole Arbitrator be appointed for

convenience of the parties.

10. Accordingly, the application is allowed by appointing Mr.

Debasish Roy, learned Senior Advocate, Bar Association Room

No. 2 as the sole Arbitrator to arbitrate upon the disputes

between the parties.

11. The learned Arbitrator shall comply with the provisions of

Section 12 of the Arbitration and Conciliation Act, 1996. The

learned Arbitrator shall be at liberty to fix his remuneration as

per the schedule of Arbitration and Conciliation Act, 1996.

12. The application being AP-COM 278 of 2025 is disposed of.

(SHAMPA SARKAR, J.)

JM /pa

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