B.A.L.L.B.(Hons.

) / Fifth Semester
Alternative Dispute Resolution (2022-23)
Notice for Arbitration

Submitted To: Prof. Ritupria Gurtoo

Submitted By: Ashutosh Bansal
Roll No.- Y013
 IN THE MATTER OF AN ARBITRATION UNDER THE RULES OF THE ARBITRATION AND
CONCILIATION ACT, 1996

BETWEEN:

[BALA ENGINEERING TECHNOLOGY]

(CLAIMANT)

-AND-

[ORDEN PETROLEUM SUPPLIES]

(RESPONDENT)

REQUEST FOR ARBITRATION

Ashutosh Bansal
44-A Andheri West, Mumbai
0222-6117895
Counsel for Claimant 04 November, 2022
I. INTRODUCTION

1. This Request for Arbitration is submitted on behalf of BALA ENGINEERING

TECHNOLOGY (hereinafter “Claimant”) pursuant to Section 21 of the Arbitration
and Conciliation Act, 1996 against ORDEN PETROLEUM SERVICES (hereinafter
“Respondent”), (hereinafter collectively referred to as the “Parties”).

2. This Request for Arbitration contains information concerning the following:

i. The name, description and address of each of the Parties (II);

ii. The Parties’ contractual relationship and the nature and circumstances of the
Parties’ dispute giving rise to Claimant’s claims (III);

iii. The dispute resolution clause, the proposed governing law, the seat and
language of the arbitration (IV);

iv. Claimant’s position as regards the composition of the Arbitral Tribunal (V);

v. Claimant’s damages (VI);

vi. A statement of the relief sought (VII);

vii. Claimant’s payment of arbitration fees (VIII);

3. This dispute principally concerns Claimant’s claim of the payment of the invoice of
rupees 3,00,000, retained fee of Rupees 8,00,000, payment of additional costs of
rupees 2,00,000 incurred by the Claimant between September and October 2015 due
to Respondent's failure to perform its contractual obligations in relation to the 1st
milestone and loss of profits in respect of the whole contract of rupees 20,00,000.

II. THE PARTIES [NOTE: SECTION 2(1)(h) of the Arbitration and Conciliation
Act,1996]

A. Claimant

4. Claimant is Bala Engineering Technology, a company registered under the laws of

India, with its registered office located at 24-B Ville Parle East, Mumbai
(Maharashtra). It is a small, highly profitable partnership specializing in providing
consultancy services for state-of-the-art technological projects, which is composed of
two partners and seven assistants which tends to undertake one single project at a time,
on a fixed-price contract basis.
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5. Claimant’s address is:

Bala Engineering Technology

24-B Ville Parle East, Mumbai-400057
0222-6118604
partners@balatech.com

6. Claimant’s counsel, to whom all correspondence should be sent in this arbitration, are:

Ashutosh Bansal
44-A Andheri West, Mumbai
0222-6117895
bansal.ashutosh@gmail.com

B. Respondent

7. Respondent is Orden Petroleum Services, a company registered under the laws of

India, with its registered office located at 27, Adani Buildings, Jamnagar (Gujrat). It is
a large manufacturer of pipelines based in Jamnagar, of which the government of
India is a majority shareholder.

8. Respondent’s contact information is

Orden Petroleum Supplies

27, Adani Buildings, Jamnagar-361001
0288-2671384
OPS@business.com

III. THE PARTIES’ CONTRACT AND THE NATURE AND CIRCUMSTANCES

OF THE PARTIES’ DISPUTE GIVING RISE TO THE CLAIMS [NOTE:
Section 23 of Arbitration and Conciliation Act, 1996]

(a) Factual Background

9. On 15 September 2022, the parties entered into an agreement. Under the Agreement
Claimant undertook to provide various engineering consultancy services in accordance
with several pre-determined milestones specified in the Agreement, each priced at a
fixed sum, over two years for a total of Twenty Lac. On 28 September 2022, Claimant
delivered Layout plan (that was Milestone 1) which also included its best estimate of a
revised Budget. It also tendered an invoice for the work completed to date, pro-rated at
rupees 5,00,000. On 29 September 2022, Respondent sent the following email: "Thank

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 you for your message. We are reviewing it. Due to changes in government policy in
relation to our work, your company shall have to modify the plan. We shall get back to
you with our requirement within a week time.” Rupees 1,00,000 was received by
Claimant as initial amount from Respondent on 29 September, 2022. In the meantime,
the Claimant carried on working as best it could on the project and further sent several
chasing emails in October, 2022, all of which remained unanswered.

(b) Legal Basis of Claim

10. The claim is for the payment of the invoice of rupees 3,00,000, retained fee of Rupees
8,00,000, payment of additional costs of rupees 2,00,000 incurred between September
and October due to Respondent's failure to perform its contractual obligations in
relation to the 1st milestone and loss of profits in respect of the whole contract of
rupees 20,00,000.

(c) Respondent’s Violations of Its Legal Obligations

11. As per the agreement between the parties, the respondent had to pay a fix amount
pertaining to various milestones, wherein Milestone 1 involved the delivery of a layout
plan and was priced at rupees 5,00,000 payable on delivery of the plan. The
Respondent failed to do so and hence breached the agreement.

IV. DISPUTE RESOLUTION CLAUSE, GOVERNING LAW, SEAT AND

LANGUAGE OF THE ARBITRATION

(a) The Arbitration Clause

12. This arbitration is initiated pursuant to the Article 1 of the arbitration agreement.

(b) The Seat of Arbitration

13. Pursuant to Article 5 set out above, the place of the arbitration is Delhi.

(c) Governing Law

14. The Agreement is governed by the substantive laws of Arbitration and Conciliation Act,
1996.

(d) The Language of Arbitration

15. Pursuant to Article 6 of the Agreement, the language of the arbitration shall be

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 English or Hindi.

V. THE ARBITRAL TRIBUNAL

16. Article 4 of the Agreement provides that committee of arbitrators shall consist of 3
(three) arbitrators appointed mutually by the Parties. Each Party shall appoint a
chairman. If the Arbitrators cannot agree on the appointment of the Chairman, then
the Chairman shall be appointed by the concerned authority under the applicable law

17. Pursuant to Article 4, Claimant nominates Ashutosh Bansal for confirmation as

Claimant’s Co-Arbitrator. To the best of Claimant’s knowledge, Ashutosh Bansal is
independent of the Parties involved in this arbitration. Ashutosh Bansal’s contact
details are as follows:

Ashutosh Bansal
44-A Andheri West, Mumbai
0222-6117895
bansal.ashutosh@gmail.com

VI. CLAIMANT’S DAMAGES

18. Damages arising out of the default of payment of the invoice of rupees 3,00,000,
retained fee of Rupees 8,00,000 and demand of the payment of additional costs of
rupees 2,00,000 incurred by claimant between September and October due to
respondent's failure to perform its contractual obligations in relation to the 1st
milestone.

19. Claimant’s total damages are currently estimated at 13,00,000 Rs.

20. Claimant is also entitled to interest of 6% per annum on these amounts.

VII. RELIEF SOUGHT

21. As a result, Claimant respectfully requests the Arbitral Tribunal to issue an award:

i. declaring that the Arbitral Tribunal has jurisdiction to consider the dispute
between the Parties described herein;

i. declaring that Respondent violated its obligations by nonpayment of specified

amount of Rs 5,00,000 as on fulfilment of Milestone 1 by the Claimant;

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 ii. ordering Respondent to compensate Claimant for the damages and losses
suffered as a result of Respondent’s breaches of the Contract, currently
estimated to be in the amount of Rs 13,00,000;

iii. ordering Respondent to pay all arbitration costs, including Claimant’s

counsel’s costs and expenses; and

iv. ordering payment Respondent to pay interest rate of 6% on all of the above
amounts as of the date these amounts were due, until the date of their effective
payment.

22. For the avoidance of doubt, Claimant reserves its right to:

i. raise all further claims arising out of or in connection with the disputed matters
described in this Request or otherwise arising between the Parties; and

ii. amend and/or supplement the relief sought herein;

iii. produce such factual or legal arguments or evidence (including witness

testimony, expert testimony, and other documents) as may be necessary to
present its case or rebut any case which may be put forward by Respondent;
and

iv. seek interim and provisional measures before this Arbitral Tribunal or any
competent national court.

VIII. PAYMENT OF ARBITRATION FEES

23. Pursuant to Section 38 of the Arbitration and Conciliation Act, 1996, Claimant is
sending an advance payment of Rs 30,000 with the Request for Arbitration. Claimant
acknowledges that this payment is non-refundable and shall be credited to its portion
of the advance on costs.

Respectfully submitted,

Ashutosh Bansal
44-A Andheri West, Mumbai
0222-6117895
bansal.ashutosh@gmail.com

Counsel for Claimant

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 (04 November 2022)