Page 1

1

IN THE SUPREME COURT OF INDIA

CIVIL  APPELLATE JURISDICTION  

CIVIL APPEAL NO. 7799   OF 2013

(Arising out of SLP(C) No.14775/2012)

HINDUSTAN PETROLEUM CORPORATION LTD.        Appellant(s)

                    :VERSUS:

M/S. SIBA GAS AGENCY & ORS.                 Respondent(s)

O R D E R

Leave granted.

2. Heard Mr. Shyam Diwan, learned senior counsel  

in support of this appeal and Mr. Manish Pitale,  

learned counsel appearing for the respondents. Both  

the  counsel  have  made  their  submissions.  The  

respondent  No.2  herein  was  allotted  an  L.P.G.  

Dealership  in  the  City  of  Amaravati.  There  were  

certain grievances with respect to the functioning  

of respondent  No.2, including  that the  respondent  

had taken a partner in the business without prior  

permission  of  the  appellant.   It  is  the  case  of  

respondent  No.2  that  after  the  agency  was  

terminated,  respondent  No.2  filed  an  appeal  and  

thereafter she moved the High Court by filing a writ  

petition.  It is seen that the writ petition was

Page 2

2

filed nearly 2 years after the termination of the  

agency. Meanwhile, no supply of L.P.G. Cylinders is  

being made to the respondent agency and as per usual  

practice,  the  L.P.G.  consumers  were  assigned  the  

other agency.  

3. There is an arbitration clause for resolution  

of  the  disputes  between  the  parties  according  to  

which, any dispute or difference shall be referred  

to the sole arbitration of the Managing Director of  

the appellant Corporation or of some officer of the  

Corporation  who  may  be  nominated  by  the  Managing  

Director. The better course now, therefore, for the  

parties is to go for  arbitration. Respondent No.2  

may approach the Managing Director of the appellant  

Corporation for that purpose.  In view of this, we  

allow this appeal and set aside the order passed by  

the High Court. The parties are relegated to the  

agreed remedy of arbitration.  

..........................J (H.L. GOKHALE)

.........................J  (J. CHELAMESWAR)

New Delhi; September 2, 2013.