Bombay High Court
Amber Apartment Makers Private LimitedversusZara Infrabuild LLP
- Decided
- Disposal
- DISPOSED OFF
Holding
The court held that prematurity objections are not a ground to deny appointment and ordered the appointment of a sole arbitrator.
Summary
The applicant filed an application under Section 11 of the Arbitration and Conciliation Act, 1996 seeking the appointment of an arbitrator pursuant to an arbitration clause in an agreement dated 3 October 2024. The respondent raised objections that the arbitration was premature and that no arbitrable dispute had yet crystallised. The Court examined the record, found that a valid and subsisting arbitration agreement existed and that the applicant had duly invoked it by notice dated 3 February 2026. It held that the respondent's objections could be raised before the arbitral tribunal under Section 16 and do not constitute a ground to refuse appointment. Consequently, the Court appointed Justice Nitin Jamdar as sole arbitrator and issued procedural directions, while leaving all merits open for determination by the tribunal.
Issues considered
- Whether the court should refuse appointment of an arbitrator on the ground that the dispute is premature and not yet arbitrable.
- Whether a valid arbitration agreement exists and has been properly invoked by the applicant.
Legislation cited
- Arbitration and Conciliation Act, 1996 — s. 11, 11(8), 12(1), 16
Subjects
- arbitration
- Section 11
- appointment of arbitrator
- prematurity
- arbitrable dispute
- arbitration agreement
- commercial dispute
- costs
Judgment
44-CARAP-554-2026.doc
Shabnoor
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
ORDINARY ORIGINAL CIVIL JURISDICTION
IN ITS COMMERCIAL DIVISION
COMM ARBITRATION APPLICATION NO. 554 OF 2026
SHABNOOR Amber Apartment Makers
AYUB
PATHAN Private Limited … Applicant
Digitally signed
by SHABNOOR
V/s.
AYUB PATHAN Zara Infrabuild LLP … Respondent
Date: 2026.08.28
18:48:50 +0530
Mr. Jehangir Jejeebhoy a/w Ms. Aishwaryajeeta Tawde
i/b Kanga & Company, for the Applicants.
CORAM : AMIT BORKAR, J.
DATED : AUGUST 28, 2026
P.C.:
1. The present Application has been filed under Section 11 of
the Arbitration and Conciliation Act, 1996 (“the Act”), seeking
appointment of an Arbitrator for adjudication of the disputes and
differences stated to have arisen between the parties under an
Agreement dated 3 October 2024. The arbitration agreement
between the parties is contained in Clause 17 of the said
Agreement, a copy whereof is placed at pages 61 and 62 of the
Application. The said Clause provides for Mumbai as the seat of
arbitration. In the interest of brevity, the said arbitration clause is
not reproduced herein. It would suffice to observe that the present
Application falls within the jurisdiction of this Court.
2. The Applicant has filed an Affidavit of Service dated 28
August 2026. On the last occasion, the learned Advocate appearing
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44-CARAP-554-2026.doc
for the Respondent sought time. However, today, none appears on
behalf of the Respondents.
3. The record indicates that the Applicant invoked the
arbitration agreement by issuing a notice dated 3 February 2026.
On perusal of the reply filed by Respondent Nos. 1 to 3, it appears
that the existence of the arbitration agreement is not in dispute.
However, the Respondents have raised objections that the
invocation of arbitration is premature and that no arbitrable
dispute has crystallised between the parties so as to warrant
commencement of arbitral proceedings.
4. Upon perusal of the material placed on record, it is evident
that the arbitration agreement has been duly invoked by the
Applicant. This Court is satisfied that a valid and subsisting
arbitration agreement exists between the parties and that the same
has been duly invoked.
5. As regards the objections raised by the Respondents that the
invocation of arbitration is premature and that no arbitrable
dispute has crystallised between the parties, the said objections
can appropriately be raised before and considered by the Arbitral
Tribunal in accordance with law, including under Section 16 of the
Act. At this stage, the said objections do not constitute a ground
for refusing appointment of an Arbitrator.
6. In the aforesaid circumstances, it would be appropriate to
refer the disputes and differences arising out of or in connection
with the aforesaid Agreement dated 3 October 2024 to arbitration
before a Sole Arbitrator. Hence, the present Application deserves to
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44-CARAP-554-2026.doc
be allowed and is disposed of in terms of the following order:
A) In exercise of powers under Section 11 of the
Arbitration and Conciliation Act, 1996, Hon’ble Shri Justice
Nitin Jamdar, former Chief Justice of the Kerala High Court,
14 A, Commerce House, Nagindas Master Road, Fort,
Mumbai – 400 001 is appointed as the sole Arbitrator to
adjudicate the disputes and differences arising between the
parties in connection with the Agreement dated 3 October
2024 as may fall within the scope of the arbitration
agreement.
B) A copy of this Order will be communicated to the
Learned Sole Arbitrator by the Advocates for the
Applicant within a period of one week from today. The
Applicant shall provide the contact and communication
particulars of the parties to the Arbitral Tribunal along
with a copy of this Order;
C) The Learned Sole Arbitrator is requested to
forward the statutory Statement of Disclosure under
Section 11(8) read with Section 12(1) of the Act to the
Advocates 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 Applicant and a copy of the same shall be furnished
by the Advocates for the Applicant to the Advocates for
the Respondent;
D) The Learned Sole Arbitrator is requested to
forward the statutory Statement of Disclosure under
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44-CARAP-554-2026.doc
Section 11(8) read with Section 12(1) of the Act to the
parties within a period of two weeks from receipt of a
copy of this Order;
E) The parties shall appear before the Learned Sole
Arbitrator on such date and at such place as indicated, to
obtain appropriate directions with regard to conduct of
the arbitration including fixing a schedule for pleadings,
examination of witnesses, if any, schedule of hearings
etc. At such meeting, the parties shall provide a valid
and functional email address along with mobile and
landline numbers of the respective Advocates of the
parties to the Arbitral Tribunal. Communications to such
email addresses shall constitute valid service of
correspondence in connection with the arbitration;
F) All arbitral costs and fees of the Arbitral Tribunal
shall be borne by the parties equally in the first instance,
and shall be subject to any final Award that may be
passed by the Tribunal in relation to costs.
7. All issues on merits are expressly kept open to be agitated
before the arbitral tribunal appointed hereby.
8. All actions required to be taken pursuant to this order shall
be taken upon receipt of a downloaded copy as available on this
Court’s website.
(AMIT BORKAR, J.)
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