Arbitration Law


We have made an agreement with builder in which he wrote one line saying if any dispute will arise it will refer to arbitrator please tell me can we directly aproach to civil court without going to arbitrator or we are bound to go first to arbitrator. 2. if we aproach the court will they hear it or they transfer the case to arbitration.

 

 
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Advocate

Sir, if there is an arbitration clause in the agreement, then even if you go to civil court, they will advise you to go for arbitration. Courts will not entertain cases where there is arbitration clause.

 
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student

agree with suchitra

 
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When there is a clause in any agreement that any dispute arising out of that agreement will be settled through arbitration, the court will not allow/entertain the suit. The dispute has to be settled through arbitation proceedings only. Unless there is mistake in conducting arbitration proceedings by the arbitrator, parties to the agreement can not approach court to set aside the arbitration award. Now a days the legal courts are also not encouraging parties approach court on the arbitration awards, as the very reason for encouraging Alternative Dispute Resolution method is only to give quick relief to the aggrieved and to less the burden on the Court.

 
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Director

You have to appoint an arbitrator and get the matter settled through an arbitrator only. Only if arbitration fails you can approach High court/Civil courts

 
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It is the builder who apporach the civil court because of that we have to appoint the lawyer and paid huge money for that ...can we claim our amount from him at civil court saying that because of wrong filling of the case we spend huge money...and will the court will entertain our request..now..

 
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Advocate

Sir, you can ask for the money you had to spend on the advocate on your behalf and also the damages for causing unnecessary trouble to you mentally too along with your defense of saying that the issue has to be resolved under arbitration clause. Whatever prayer you have to the court, has to be included in your reply to his contention.

 
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Director

Mr. Harita, Always try to state clearly the facts when you want to know something. Now you are asking about getting compensation for the amount spent towards the civil suit. I disagree with Suchitra. You can claim whatever amount is stated in the Costs memo filed in the Civil suit by you and awarded as costs in the said suit by the Court. But anyway you can try it.

 

 
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Dear Sir,

My Name is Harit. As you have asked for Facts. 1. Builder is a plentiff. 2. We are Defendant. 3 We have to give the reply in the court through our lawyer since he files the case against us. So money is what we have to spend on the procedings.4.It is the case of collaboration agreement between us and him in which we gave him the old house for reconstruction within the time frame of 9 months and with the extantion of one more month. Which will not be extentable.5. For this we have given him ground floor with sale deed. 6. In the agreement there was one more clause saying that "only after the construction of Ground ,1,2,3, second party "may" transfer the rights of third floor to first party.

Now the problem arise when:

1 He has not construct our house as per the agreement. Neither use agreed material nor use accessories.

2 Second, The work has not completed even after 14 months despite giving him written memo.

3 He has not reply to our registered letters and start threatning through his labour.

4 He has taken a token money from somebody for the third floor with roof rights. Since the roof rights we have not given at all and the same was not mention in an agreement too. The lines were only that " We may transfter the rights of third floor.

5 All the proof of the expenses we have with us with the taxable bills.

6 Proof of pending work and at the time when we entered our house with photographs and the newspaper of that day we have with us.

7 He misbehaved with us and the same reported to the Police station.

Now give you opinion.

Thanks & Regards

Harit

 
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Director

Mr. Harit  Now that you have to submit reply in the civil suit, you ask your advocate to file a petition to reject the suit on the ground that the matter cannot be decided here but only through arbitration as per the agreement entered into between you and the builder. If the court does not agree, then you can prefer an appeal and get the suit dismissed. Regarding the expenses when the suit is decided then you file the costs memo.

 
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