Provision of section 34 of the Arbitration Act

11……….Provision of section 34 of the Arbitration Act would indicate that the party has to promptly act raising the plea of referring the matter to the arbitrator at the very first opportunity and delay on any pretext in raising the plea would estop the party from raising the said plea of staying all proceedings. It may be observed that the appellant/defendant made the aforesaid application after about six months of service of summons of the suit and during the said period he went on seeking adjournment twice for filing written statement. He had even contested the application for interim injunction and had also applied for rejection of plaint and thus the appellant/defendant had taken positive steps for furtherance of the proceedings in the suit. Consequently application for stay of suit under the aforesaid provision of law was rightly rejected by the first appellate Court and affirmed by the learned Single Judge.”

This Court in the case of “YEZDIAR HOMI KAIKOBAD and another versus FEROZSONS LTD. through Chief Executive and 3 others” (2005 YLR 783) also adopted the same principles.

Used in Judgement of
Lahore High Court
Civil Revision
249999/18