The Delhi High Court in Dart Properties (P) Ltd. v. Cinema Ventures (P) Ltd., issued notice to the respondent in a petition filed under Section 9 [interim measures, etc., by the court] of the Arbitration and Conciliation Act, 1996.
In the instant petition, it was stated that the disputes arose between the parties about arrears of rent and other charges arising under the Memorandum of Understanding (MOU).
The said MOU was initially executed between the petitioner and Adlabs Films Limited. Subsequently, Reliance Media Works Limited stepped into the shoes of Adlabs Films Limited and later transferred its business in favour of the respondents.
The Deed of Adherence recorded that the parties had entered into the MOU and the Addendum further. The deed also mentioned that the respondent agreed and confirmed that it should be bound by all the agreement's provisions as entered into with the original party. The contract shall have the full force of binding effect on the party.
Since the respondent defaulted in making payments towards rent, conducting charges, and CAM charges due under the agreements, the petitioner was constrained to issue the legal notice making the demand of Rs 2.04 Crores.
However, the respondent refuted the above compliance citing the COVID-19 pandemic situation.
Petitioner’s counsel further submitted that, though the arbitration clause has not yet been invoked, the petitioner has all intention to gather the same.
Adding to the above, it was submitted that pending the appointment of the Arbitral Tribunal, the urgent interim direction was necessary.
The bench directed for the notice to the respondent by all modes upon filing the processing fee, returnable on 05-04-2021.
 2021 SCC OnLine Del 990.
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