Quick Summary: The Delhi High Court has given more time for AVG Logistics Limited to continue its arbitration case against Ms. Shree Shyam Palace by six months. This extra time is meant to finish the ongoing process.
On February 27, 2026, the Delhi High Court, led by Justice Harish Vaidyanathan Shankar, looked at a request from AVG Logistics Limited. The company asked for more time for the arbitration because of unresolved issues with Ms. Shree Shyam Palace. The case is about a Sub-lease Agreement from September 15, 2018.
The arbitration process started in October 2023, after a decision on September 25, 2023, to appoint a single arbitrator. The initial paperwork was done by February 8, 2024. However, the process was delayed because Ms. Shree Shyam Palace asked for several postponements and a key witness was sick.
"The proceedings have not concluded within the given time due to reasons said to be beyond the control of AVG Logistics Limited."
The deadline was first pushed from February 28, 2025, to August 28, 2025. Then, the court extended it again until February 27, 2026. Even with these extensions, the case wasn't solved, leading to a request for more time.
Justice Harish Vaidyanathan Shankar looked at the request and agreed to the extension. The court said the extra time was needed to finish questioning witnesses and to hear final arguments.
“The current request is approved. The time for the arbitrator, which was ending today, is extended for another six months beyond 27.02.2026.”
The decision mentioned Section 29A of the Arbitration and Conciliation Act, 1996. This part of the law talks about how long arbitration should take and when more time can be given. The court stressed the need to solve the matter quickly within the new deadline.
The extra time allows both sides to finish the arbitration process. Mr. Sanjay Agarwal, who speaks for Ms. Shree Shyam Palace, did not oppose the extension. This decision aims to end the dispute fairly and on time.
