Authority: High Court of Judicature at Madras (Justice K. Kumaresh Babu)
Order Date: 28 September 2026
Case Overview
- Applicant: The Royal Lands and Nest Co-operative Housing Society Ltd., represented by Chairman K. Velusamy, a multi‑state co‑operative society.
- Respondents: Sushil Lalwani, J Rajashekar, Mrs. Chitra Gowri, T Ramavelu, S.S. Kumar, Mrs. T. Mythili.
- Petition under Section 34(2) of the Arbitration and Conciliation Act, 1996 seeking to set aside the arbitral award dated 18 Oct 2024 and to obtain specific performance of a sale agreement dated 20 Aug 2013, or alternatively refund of advance.
- The sale agreement involved an advance payment of Rs 20,00,000. The arbitrator rejected specific performance, granting refund of the advance with interest at 18 % from 20 Aug 2013 to the award date and future interest at 18 % until payment.
- Petitioner argued that it had fulfilled its obligations and that respondents failed to perform; sought specific performance and contended arbitrator wrongly placed onus of readiness on petitioner.
- Respondents argued petitioner had not demonstrated availability of funds and that the arbitrator’s finding on lack of readiness was correct; also argued limitation period and that specific performance would cause prejudice.
- Court examined submissions, noted arbitrator’s reliance on Supreme Court judgment and on Section 16C of the Specific Relief Act, and found no infirmity in the award.
Final Outcome
- The High Court dismissed the arbitration petition, holding that the award was proper and there were no grounds for interference under Section 34.
- The connected application was also closed; no order as to costs was made.
Topics: Arbitration, Specific Performance, Co‑operative Housing