National Seeds Corporation Ltd Vs. National Agro Seeds Corporation (India) (Delhi High Court)
Hon’ble Delhi High Court Held That : Once the amount is properly reflected in the ledger as outstanding and payable, the Statute of limitation begins on the following date.
BRIEF FACTS
1. The Uttar Pradesh government had announced several farmer subsidies schemes.
2. National Seeds Corporation Ltd. (Appellant) is a government of India undertaking that was required to supply the seeds to the farmer at a 50% subsidised price and receive the remaining 50% from the government of Uttar Pradesh.
3. As a result, the appellant and the respondent entered into a dealership agreement on October 24, 2009, for the supply of seeds to the farmer.
4. The respondent had agreed to sell certified seeds of approved varieties at the subsidised price in exchange for a trade discount.
5. As a result, it invoked the agreement’s arbitration clause, and the dispute was referred to arbitration.
6. The arbitral tribunal granted the respondent’s claims while rejecting all the respondent’s counterclaims.
7. As a result, the appellant filed an objection under Section 34 of the Arbitration & Reconciliation Act, 1996 , which was also denied by the Single Bench in an order dated January 5, 2022.
