Dispute regarding dissolution of partnership firm and aspect of rendition of accounts and distribution of accounts needs to be referred to arbitrator

Citation

AIROnline 2021 Tel 81

Telangana High Court A. RAJASHEKER REDDY, J.

Arb. Application - 46 of 2020 D/-8-6-2021

SOMURI RAVALI v. SOMURI PURNACHANDRA ROA

(A)Arbitration and Conciliation Act (26 of 1996), S.11(5), S.11(6) - Appointment of sole Arbitrator Dispute between parties arising under partnership deed Deed dissolved at will - Arbitration clause in deed providing that any dispute arising amongst partners in respect of any matter relating to partnership firm, scope of arbitration cannot be restricted - Amended partnership deed substituted original partnership deed, but nothing to indicate either expressly or impliedly any novation or substitution of original partnership deed, except change of allocation of shares of partners Arbitration clause contained in contract constitutes separate agreement and it is agreement inside agreement -Amended deed, even if taken as separate deed and firm not registered thereafter afresh, still applicant can seek for arbitration as it has not substituted original partnership deed Upon termination of main contract, arbitration agreement does not ipso facto come to end - Dispute regarding dissolution of partnership firm and aspect of rendition of accounts and distribution of accounts needs to be referred to arbitrator