Amazon Seller Services Private Limited v. Goodluck Buildtech Private Limited & Ors.
Where the parties consent to arbitration, a court hearing an urgent section 9 petition may appoint the arbitrator without delay, direct that the petition be treated as an application under section 17 before the tribunal, and make narrow arrangements, such as an inventory of assets by a Local Commissioner, to preserve the position until the tribunal acts.
By CA Nikhil Gupta · Reviewed against the retained judgment 2026-10-15
A tenant of a large logistics warehouse in Delhi that had terminated its lease for the landlord's delay in giving access and approvals asked for urgent orders allowing it to remove fixtures and fit-outs worth about ₹120 crore. The Delhi High Court recorded the landlord's statement that it would not obstruct access, appointed a retired Supreme Court judge as sole arbitrator with the parties' consent, converted the petition into a section 17 application and appointed a Local Commissioner to inventory the assets.
What happened
Amazon Seller Services Private Limited, the petitioner, took Block C of the Horizon Urban Logistics Park at Nangli Puna, Alipur, Delhi on lease from Goodluck Buildtech Private Limited (respondent 1) by a registered lease deed of 27 June 2022, under clauses 3.1 and 3.2 of which the lessor was to give dry access by 15 February 2023 and procure the occupancy certificate and fire and utility connections. The petitioner says that these obligations were not met in time, that it terminated the lease by a notice of 2 April 2026 and invoked an indemnity claim of about ₹182.50 crore, and that when it began dismantling and removing fixtures and fit-outs, said to be worth about ₹120 crore, the respondents restricted access. The respondents dispute the termination and attribute the delay to force majeure, which the petitioner says could not be pleaded because no notice under clause 25.3(a) was given. In its petition under section 9 the petitioner asked for access to the premises, an injunction against obstruction, uninterrupted utilities, a restraint on dealing with its assets and a Local Commissioner to inventory them, with ad-interim ex parte orders.
Questions before the court
- Can a court hearing an urgent section 9 petition appoint an arbitrator by consent, treat the petition as an application under section 17 and make limited arrangements to preserve the assets until the tribunal acts?
Why the court ruled this way
Senior counsel for respondent 1 stated at the bar that it would not obstruct or interfere with the petitioner's ingress to and egress from the premises for four weeks (paragraph 10). Senior counsel for both parties, by consent, waived the contractual and formal procedure under the Act and agreed to the appointment of a sole arbitrator, while counsel for respondent 3 said that it is not a necessary party and arbitration cannot be invoked against it, and the petitioner was given liberty to implead it before the tribunal (paragraphs 11–12). In view of the parties' mutual consent to refer the dispute to arbitration, the Court considered that commencement of the arbitral proceedings should not be delayed, and it directed that the section 9 petition be treated as an application under section 17 to be decided by the arbitrator within two weeks of entering the reference (paragraphs 13–16). It appointed a Local Commissioner, without objection from respondent 1, so that an inventory of the petitioner's assets with their present condition and photographs could be made in the presence of both parties and reported to the tribunal (paragraphs 21–25).
Controlling point
Where the parties consent to arbitration, the court hearing an urgent section 9 petition can appoint a sole arbitrator without delay, treat the petition as an application under section 17, and appoint a Local Commissioner to prepare an inventory of the assets at the premises pending the tribunal's decision.
Order and next steps
The Court appointed Mr. S. Ravindra Bhat, a retired judge of the Supreme Court of India, as sole arbitrator, to enter upon the reference within one week and make the disclosures under section 12(2) within one week of doing so, on fees to be agreed, and directed that the petition under section 9 be treated as an application under section 17 to be decided within two weeks of his entering the reference. It granted the petitioner liberty to implead respondent 3 before the tribunal, left all pleas open, including arbitrability, jurisdiction and the claim for holding charges, appointed an advocate as Local Commissioner to visit the premises within one week, make the inventory and report to the tribunal within one week of executing the commission, fixed his fee at ₹2,00,000 to be borne by the petitioner, who may claim reimbursement from the tribunal, and disposed of the petition.
Practical implications
A lessee in a high-value dispute that fears for its assets at the premises can ask the court under section 9 for an early appointment of the arbitrator by consent and for a limited preservation direction, such as an inventory by a Local Commissioner, and then pursue the remaining interim relief before the tribunal.
Limits of this ruling
- The Court said that its observations are only for the purpose of the section 9 petition and that the arbitrator will decide independently, and it did not decide the validity of the termination, force majeure, the indemnity claim or whether respondent 3 is a proper party, all of which are left to the tribunal.
Law and judgment source
- Arbitration and Conciliation Act, 1996, sections 9, 12(2) and 17
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Source checked: 2026-10-15 · Judgment paragraphs: paragraphs 1–29 · Later case history: not verified. Verify appeals, stays and subsequent orders before reliance.
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