Arb O.P(COM.DIV.)/271/2026 of Tata Capital Limited Vs MIDDE SNEHA

Arb O.P(COM.DIV.) No. 271 of 2026 __________ Page1 of 7 IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 21.04.2026 CORAM THE HON'BLE MR JUSTICE SENTHILKUMAR RAMAMOORTHY Arb O.P(COM.DIV.) No. 271 of 2026 Tata Capital Limited, (Formerly known as Tata Capital Financial Services Ltd.,) Registered Office at 11th Floor, Tower A, Penninsula Business Park, Ganpatrao Kadam marg, Lower Parel, Mumbai - 400 013, Maharashtra, Branch office at Centennial Squares, 1st Floor, No.6A, Dr.Ambedkar Salai, Kodambakkam, Chennai - 600 024 Represented by its Authorised Signatory Ramkumar. ..Petitioner Vs Midde Sneha D/o.Mr.Narayana Middle, Survey No.4th Floor, Plot No.31, Rohini Enclave, Opp-Cyber Towers, Beside Mehfil Restaurant, Hitech City, Telangana, Pincode - 500 035 Also at Plot No.14, Flat No.202, SLN Arcade 2, Haripura Colony, LB Nagar, Sarror Nagar, KV Rangareddy Dist, Hyderabad, Telanagana, Pincode - 500 035. ..Respondent Prayer : Petition is filed under Section 11(5) & (6) of the Arbit ration and Conciliation Act, 1996, to appoint a Sole Arbitrator to adjudicate the differences and disputes between the petitioner and the respondent under the Loan Agreement dated 27.02.2023 Bearing Reference Number 8502286. For Petitioner: Mr. P. Suresh https://www.mhc.tn.gov.in/judis Arb O.P(COM.DIV.) No. 271 of 2026 __________ Page2 of 7 ORDER After issuing notice dated 12.11.2025 invoking clause 9 of the agreement for business loan between the parties, the present petition has been filed under Section 11(5) of the Arbitration and C onciliation Act, 1996 (the A & C Act). 2. The arbitration clause between the parties reads as under: 10.Arbitration If any dispute, difference or claim arises between any of the Borrower and the Lender in connection with the Facility or as to the interpretation, validity, implementation or effect of the Facility Documents or as to the rights and liabilities of the parties under the Facility Documents or alleged breach of the Facility Documents or anything done or omitted to be done pursuant to the Facility Documents, the same shall be settled by arbitration by a sole arbitrator to be appointe d by any of the following institutions: (a) The Council for National and International Commercial Arbitration having its office at Unit No.208, 2nd Floor, Beta Wing, Raheja Towers, Nos.113-134, Anna Salai, Chennai – 600002. (b) Centre for Online Resolution of Disputes having its office at F-14, 3rd Cross, Manyata Residency, Manyata Tech Park, Bengaluru 560045. (c) The Centre for Alternative Dispute Resolution https://www.mhc.tn.gov.in/judis Arb O.P(COM.DIV.) No. 271 of 2026 __________ Page3 of 7 Excellence having its office at 107C, Mulberry Woods, Janatha Colony, Carmelaram Station Road, Doddakanneli, Bengaluru – 560035. (d) ADR E-Sarvatra Private Limited having its office at 63, Palace Road, Vasanth Nagar, Bengaluru – 560052. (e) Any arbitral institution designated under the provisions of the Arbitration or Conciliation Act, 1996 ("the Act) or any panel of arbitrators maintained unde r the provisions of that Act; hereinafter referred to as ("Institution") in accordanc e with the rules of the Institution as prevailing and as amended from time to time. The arbitration proceedings shall be based on document s only which shall be conducted through exchange of e- mail and/or any other mode of electronic communication as permitted by the rules of the Institution or through an online dispute resolution by the web portal offered by the Institution. The parties hereby agree that the arbitral proceeding shall be conducted in electronic mode and all pleadings and documents will be exchanged electronically. There shall be no in-person and/or oral hearings except in certain exceptional circumstances as the sole arbitrator may deem fit upon the request of either of the parties. In such instances, the hearings shall be conducted virtually at the sole discretion of the arbitrator. The seat of arbitration for all purposes shall be deemed to be such place as mentioned in Annexure I o f https://www.mhc.tn.gov.in/judis Arb O.P(COM.DIV.) No. 271 of 2026 __________ Page4 of 7 the Agreement. The language of arbitral proceedings shall be English. In the event the arbitrator to whom the matter is originally referred, resigns or dies or is unable to a ct for any reason, the Institution shall appoint another perso n in his/her place to act as arbitrator/who shall proceed with the reference from the stage at which it was left by his/her predecessor. The arbitrator so appointed shall have the power to pa ss an award and also to pass interim orders/directions as may be appropriate to protect the interest of the par ties pending resolution of the dispute. A certified copy of the award passed by the arbitrator, a digitally signed copy of the same or a scan copy of the same shall be sent t o the parties through e-mail or any other electronic mode including the web portal as the Institution deems fit which shall be considered as a signed copy. All notices, processes and communications between the parties with respect to the arbitration proceedings shall be through e-mail or another mode of communication permitted by the Institution notwithstanding the notice clause contained in the Agreement which shall continue to apply to all other communications between the parties. It shall be the responsibility of the Lender and Borrower(s) to maintain sufficient space in the e-mail account and/or in any other mode of electronic account(s) and also to have supporting applications / https://www.mhc.tn.gov.in/judis Arb O.P(COM.DIV.) No. 271 of 2026 __________ Page5 of 7 software in their computer / mobile / any other electronic device to access the electronic documents sent to them . It shall also be the responsibility of the Lender and Borrower(s) to save the emails in the address book. The delivery of emails to spam, promotion, etc., shall also be a deemed delivery. The courts at Chennai shall have exclusive jurisdictio n in respect of matters arising under this Agreement including any application for setting aside the award/appeal and the Lender/Borrower(s) shall not object to such jurisdiction. The arbitration shall be conducted under th e provisions of the Arbitration and Conciliation Act, 1996 together with its amendments, any statutory modifications or re-enactment thereof for the time being in force. The award of the arbitrator shall be final a nd binding on all parties concerned. The cost of arbitration shall be borne by the Borrower. ” Upon a dispute arising between the parties, the petition er issued notice dated 12.11.2025 specifying the list of institutions aut horised to appoint the arbitrator under the contract. The petitioner also c alled upon the respondent to select one of the institutions for purpos es of making such appointment. Because the respondent did not respond t o the notice, the present petition has been filed. https://www.mhc.tn.gov.in/judis Arb O.P(COM.DIV.) No. 271 of 2026 __________ Page6 of 7 3. Under Section 11(2) of the A & C Act, the parties a re free to agree on a procedure for appointing the arbitrator. As per sub-section (6) of Section 11, if a party or institution fails to perform a function entrusted under the agreed appointment procedure, the person aggrieved is entitled to approach this Court. 4. In the case at hand, it is evident from the arbitra tion clause that there is an agreed appointment procedure. Therefore, the petitioner should have requested one of the institutions mentioned in clause 10 to make the appointment. Upon failure by such institution t o make the appointment, the petitioner would be entitled to approach this Court. 5. Because the petitioner has approached this Court pr ematurely without adhering to the procedure prescribed in the co ntract, this petition is disposed of by leaving it open to the petitioner to re-apply if appointment cannot be made in accordance with the agr eed appointment procedure in spite of the petitioner making necessary efforts in that regard. There will be no order as to costs. 21.04.2026 Index:Yes/No Neutral Citation:Yes/No mmi https://www.mhc.tn.gov.in/judis Arb O.P(COM.DIV.) No. 271 of 2026 __________ Page7 of 7 SENTHILKUMAR RAMAMOORTHY, J. mmi Arb O.P(COM.DIV.) No. 271 of 2026 21.04.2026 https://www.mhc.tn.gov.in/judis