M/S BALAJI ENTERPRISES AND ORS. vs M/S SUNDARAM FINANCE LTD

Judgment text excerpt

$~53 & 54 * IN THE HIGH COURT OF DELHI AT NEW DELHI Date of decision: 24.07.2025 + EFA(COMM) 8/2025 & CM APPL. 40684/2025 + EFA(COMM) 9/2025 & CM APPL. 40686/2025 M/S BALAJI ENTERPRISES AND ORS. .....Appellants Through: Mr.Sahil Mongia, Ms.Sanjana Samor & Mr.Yash Yadav, Advs versus M/S SUNDARAM FINANCE LTD .....Respondent Through: Mr.Nikhil Swami, Adv CORAM: HON'BLE MR. JUSTICE NAVIN CHAWLA HON'BLE MS. JUSTICE MADHU JAIN NAVIN CHAWLA, J. (ORAL) 1. These appeals have been filed by the appellants, challenging the Orders dated 03.06.2025 passed by the learned District Judge (Commercial Court)-04, South West District, Dwarka Courts, Delhi (hereinafter referred to as the, ‘District Judge’) in Execution (Comm.) No. 3/2025 and Execution (Comm.) No. 4/2025, both titled Sundaram Finance Ltd. v. Balaji Enterprises, whereby the objections filed by the appellants against the execution of the Arbitral Award dated 16.08.2024 were dismissed. 2. The short question that arises for consideration in these appeals is whether the learned Arbitrator had been unilaterally appointed by the respondent, thereby rendering the Award a nullity in terms of the Signature Not Verified Digitally Signed EFA(COMM) 8/2025 & 9/2025 Page 1 of 4 By:REYMON VASHIST Signing Date:28.07.2025 20:03:37 Judgment of the Supreme Court on this issue. 3. Before we proceed to consider the submissions of the parties on this issue, we would first reproduce the arbitration clause between the parties, as under:- “22. (a) All disputes, di8erences and/or claim, arising of this agreement, whether during its subsistence or thereafter shall be settled by arbitration in accordance with the provisions of Arbitration & Conciliation Act, 1996 or any statutory amendments thereof and shall be referred to the sole Arbitration of an nomi