Justice P. Krishna Bhat, Former Judge, Appointed to Resolve Conflict Between Landowner and Developer Over Withheld Property
In a significant development, the Karnataka High Court has stepped in to resolve a dispute arising from a Joint Development Agreement between landowner L. Ramdev and developer G'Corp Buildwell Private Limited. The court has appointed Hon'ble Mr. Justice P. Krishna Bhat, a former judge of the Karnataka High Court, as the sole arbitrator to adjudicate the matter.
The conflict centers around a Joint Development Agreement executed on September 30, 2013, for the development of certain properties in Bengaluru. Disputes erupted when G'Corp Buildwell withheld possession of an apartment and associated car parking spaces from Ramdev, citing liabilities related to service taxes, GST, and statutory utility deposits. However, Ramdev contended that such withholdings were not justified under the agreements.
The matter was brought before the Karnataka High Court under Section 11(5) of the Arbitration and Conciliation Act, 1996, which allows for the appointment of an arbitrator when disputes arise under an agreement containing an arbitration clause. In this case, Clause 33 of the Joint Development Agreement provided for arbitration in the event of disputes.
Ramdev, invoking the arbitration clause, issued a notice under Section 21 of the Act to G'Corp Buildwell. Although G'Corp Buildwell responded to the notice, the petitioner was dissatisfied, leading to the filing of the present petition for the appointment of a Sole Arbitrator.
During the proceedings, counsel for the respondent, G'Corp Buildwell, expressed no objection to the appointment of a Sole Arbitrator, allowing the court to proceed with the appointment. The court, led by Justice H.T. Narendra Prasad, acknowledged the existence of the arbitration agreement and the proper invocation of the arbitration clause by the petitioner.
The court's order allows all claims and contentions of the parties to remain open, ensuring that the arbitration process will comprehensively address the issues at hand. The appointed arbitrator, Justice P. Krishna Bhat, will conduct the arbitration at the Arbitration and Conciliation Centre in Bengaluru.
The court has directed the involved parties to appear before the Director of the Arbitration Centre on October 29, 2026, to commence the arbitration process. The registry has been tasked with communicating this order to the relevant parties and returning all original documents after making necessary copies.
This decision underscores the judiciary's commitment to facilitating alternative dispute resolution mechanisms, providing a structured and binding framework for resolving complex legal disputes outside the traditional court system.
Bottom Line :
Arbitration and Conciliation Act, 1996 Section 11(5) Appointment of Sole Arbitrator - Where Joint Development Agreement contained arbitration clause, disputes had arisen between parties, arbitration clause was invoked by notice under Section 21, and respondent had no objection to appointment of arbitrator, Court held that Sole Arbitrator was required to be appointed.
Statutory provision(s): Arbitration and Conciliation Act, 1996 Section 11(5), Section 21
L. Ramdev v. G'Corp Buildwell Private Limited, (Karnataka) : Law Finder Doc id # 2991178