Created by Fuzzy Cloud

Bombay High Court

Cloud Kitch Private LimitedversusMs Praneetas Kitchen

Decided
Disposal
DISPOSED OFF

Holding

The court held that a valid arbitration agreement existed and had been duly invoked, and therefore appointed a sole arbitrator.

Summary

The parties executed a Master Service and Software Agreement containing an arbitration clause. The applicant, Cloud Kitch Private Limited, alleged the respondent, Praneetas Kitchen, failed to pay revenue‑share settlements and invoked arbitration by sending a notice on 25 February 2026. The respondent did not respond, and the applicant filed a Section 11 application seeking appointment of an arbitrator. The court examined whether a valid arbitration agreement existed and whether it had been properly invoked, relying on Supreme Court precedents. Finding the arbitration clause valid and the notice effective, the court appointed Ms Niyomi Jariwala as sole arbitrator and issued procedural directions. All claims and counter‑claims were left open for determination before the tribunal.

Issues considered

  • Whether a valid arbitration agreement exists between the parties under the Master Service and Software Agreement
  • Whether the arbitration clause was validly invoked by the notice dated 25 February 2026
  • Whether the court can appoint a sole arbitrator under Section 11 of the Arbitration and Conciliation Act, 1996

Legislation cited

Subjects

  • Arbitration
  • Section 11 application
  • Arbitration agreement
  • Revenue share dispute
  • Appointment of arbitrator
  • Master Service Agreement
  • Indian arbitration law

Judgment

         IN THE HIGH COURT OF JUDICATURE AT BOMBAY
                 ORDINARY ORIGINAL CIVIL JURISDICTION

                 ARBITRATION APPLICATION NO.230 OF 2026
Cloud Kitch Private Limited                                              .. Applicant
      Vs.
Praneetas Kitchen                                                        .. Respondent


Mr. Adnan Noor Hasan (through V.C.), i/by Mr. Atif Shaikh, Advocate for the
Applicant.
None for the Respondent.


                                      CORAM : GAUTAM A. ANKHAD, J.

                                      DATE         : 3rd September, 2026.

                                                     [ THROUGH HYBRID HEARING ]

P.C. :


1.       This Section 11 Application is filed seeking appointment of an Arbitrator

in relation to the disputes that have arisen under the Master Service and

Software Agreement dated 25th March 2025 (“Agreement”) executed between

the parties. The arbitration agreement between the parties is recorded at Clause

No.17, the relevant portion of which reads as under:-


         “17.    Governing Law and Arbitration
                 This Agreement and its performance shall be governed by and
                 construed in all respects in accordance with the Laws of the
                 Republic of India. In the event of a dispute or difference, relating
                 to, arising out of or in connection with any of the matters set out in
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7-ARBAP-230-2026.doc                                                                      Dixit
                 this Agreement, including any question regarding its existence,
                 validity or termination, ("Dispute"), the parties to the Dispute shall
                 discuss in good faith to resolve the Dispute. If a Party gives the
                 other Parties notice that a Dispute has arisen and the Parties are
                 unable to so resolve the Dispute amicably within 30 (thirty)
                 calendar days, it shall be referred to arbitration.

          17.1 Arbitration Procedure
                 If a Dispute is not resolved within 30 (thirty) days after the service
                 of a Dispute Notice, whether or not a Dispute Meeting has been
                 held, any Party to the Dispute shall be entitled to refer the Dispute
                 to arbitration pursuant to the provisions of Arbitration and
                 Conciliation Act, 1996. In this regard, the Parties further agree as
                 follows:

                      the Dispute shall be referred to and resolved by the arbitral
                       tribunal which shall consist of a sole arbitrator, who shall be
                       mutually appointed by the Parties; failing which, the sole
                       arbitrator shall be appointed in terms of the Arbitration and
                       Conciliation Act, 1996;
                      the seat and venue of the arbitration shall be Mumbai,
                       Maharashtra, India and the language of the arbitration shall be
                       English;
                      the arbitration award of the sole arbitrator shall be final and
                       binding on the Parties and shall be enforceable in accordance
                       with its terms;
                      the costs of arbitration and the manner of bearing such costs
                       shall be determined by the arbitral tribunal; and
                      during the arbitration proceedings, the responsibilities and
                       obligations of the Parties set out in this Service Agreement
                       shall subsist and the Parties shall perform their respective
                       obligations continuously except for that part which is the
                       subject matter of the arbitration”


2.      Mr. Hasan, the learned counsel appearing for the Applicant submits that

the parties entered into the Agreement governing operation and revenue sharing

in respect of a Maersk Kitchen facility at Pune. Disputes have arisen between

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7-ARBAP-230-2026.doc                                                                      Dixit
the parties on account of failure of the Respondent to pay revenue share

settlements payable under the Agreement. The Applicant, through its

Advocate’s notice invoked Arbitration on 25th February 2026. The Respondent

has not replied to the said notice despite receiving the same.



3.      Mr. Hasan tenders an affidavit-of-service dated 3rd September 2026 to

demonstrate that the Application has been served on the Respondent. The said

affidavit is taken on record and marked ‘X’ for identification.



4.      No one appears for the Respondent despite service. The record

demonstrates that the parties have executed the Agreement. The Applicant has

invoked arbitration by its Advocate’s notice dated 25th February 2026 which

has been received by the Respondent. The acknowledgment receipt is at pages

52 of the paper-book. There is no denial of the arbitration agreement by the

Respondent. At this stage, as held by the Hon’ble Supreme Court in Interplay

between Arbitration Agreements under Arbitration and Conciliation Act, 1996 and

Stamp Act, 1899, in Re (2024) 6 SCC 1 and followed in subsequent judgment in the

case of SBI General Insurance Company Vs. Krish Spinning, (2025) 3 SCC (Civ)

567 that the Section 11 Court ought not to venture beyond the existence of a validly

existing arbitration agreement, this Court is only required to examine whether an

arbitration agreement exists between the parties and whether arbitration has

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7-ARBAP-230-2026.doc                                                            Dixit
been validly invoked. I am satisfied that there exists a valid arbitration

agreement in the Agreement and the same has been validly invoked on 25th

February 2026. Hence, this Application is allowed in terms of the following

order:-

        [A].     Ms. Niyomi Jariwala, learned Advocate of this Court is
                 appointed as the sole Arbitrator to adjudicate upon the
                 disputes and differences between the parties arising out of
                 and in connection with the Master Service and Software
                 Agreement referred to above. The contact details of Ms.
                 Niyomi Jariwala, the sole Arbitrator, are as under:

                 Office Address : Chambers of Adv. Aditya N. Mehta,
                                    4th Floor, Techno Heritage Building,
                                    76 Nagindas Master Road, Fort,
                                    Mumbai – 400 001.
                 Mobile Number : 8976401402
                 E-mail ID       : [email protected]


        [B].     A copy of this order will be communicated to the learned
                 Arbitrator by the Advocate for the Applicant within a
                 period of one week from the date on which this order is
                 uploaded on the website of this Court. The Applicant shall
                 provide the contact and communication particulars of the
                 parties to the learned Arbitrator along with a copy of this
                 order;


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                             [C].     The learned Arbitrator is requested to forward the statutory
                                      Statement of Disclosure under Section 11(8) read with
                                      Section 12(1) of the Act to the Advocate for the Applicant
                                      so as to enable them to file the same in the Registry of this
                                      Court. The Registry of this Court shall retain the said
                                      Statement on the file of this Application and a copy of the
                                      same shall be furnished by the Advocate for the Applicant
                                      to the Respondents;

                             [D].     The parties shall appear before the learned Arbitrator on
                                      such date either on V.C. mode or at such place as indicated
                                      to obtain appropriate directions with regard to conduct of
                                      the arbitration including fixing schedule for pleadings,
                                      examination of witnesses, schedule of hearings etc.

                             [E].     The fees of the learned Arbitrator shall be as per the Fourth
                                      Schedule of the Act read with the Bombay High Court (Fee
                                      Payable to Arbitrators) Rules, 2018.

                             [F].     All issues, claims and counterclaims are kept open to be
                                      agitated before the Tribunal.

                             [G].     The arbitration shall be held at Mumbai.




                                                                          [ GAUTAM A. ANKHAD, J. ]




        Digitally
        signed by
SNEHA   SNEHA
        ABHAY
                                                                5/5
ABHAY   DIXIT
                     7-ARBAP-230-2026.doc                                                             Dixit
DIXIT   Date:
        2026.09.04
        16:49:59
        +0530


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