Unilateral Appointment Clause Of Arbitrator Hinders Equal Participation Of Parties In Appointment Process: Patna High Court
1 day, 3 hours ago

Unilateral Appointment Clause Of Arbitrator Hinders Equal Participation Of Parties In Appointment Process: Patna High Court

Live Law  

The Patna High Court Bench of Chief Justice K. Vinod Chandran held that a clause that allows one party to unilaterally appoint a sole arbitrator gives rise to justifiable doubts as to the independence and impartiality of the arbitrator. Further, such a unilateral clause is exclusive and hinders equal participation of the parties in the appointment process of arbitrators. It was also observed that even if the arbitration clause was invoked by the petitioner, the Engineer-in-Chief could not have appointed the arbitrator due to the disqualification arising from the Arbitration & Conciliation Act, 1996. The court relied on the judgment in Central Organisation for Railway Electrification v. M/s ECI SPIC SMO MCML A Joint Venture Company and held that a clause that allows one party to unilaterally appoint a sole arbitrator gives rise to justifiable doubts as to the independence and impartiality of the arbitrator.

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History of this topic

S.12(5) Of A&C Act Provides For Agreement In Writing, Novation Can't Be Allowed Only Because Of Appointment Of Arbitrator At First Instance: Patna HC
3 weeks, 1 day ago

S.12(5) Of A&C Act Provides For Agreement In Writing, Novation Can't Be Allowed Only Because Of Appointment Of Arbitrator At First Instance: Patna HC

Live Law  

The Patna High Court Bench of Chief Justice K. Vinod Chandran has held that the proviso to Section 12 specifically provided for a waiver by an express agreement in writing. When the statute provides for an express agreement in writing there can be no novation of the agreement found, by reason only of the appointment of an Arbitrator at the …

Appointment Of Managing Director/Chairman Of Party As Arbitrator Is Prohibited U/S 12(5) Of Arbitration Act: J&K High Court
1 month ago

Appointment Of Managing Director/Chairman Of Party As Arbitrator Is Prohibited U/S 12(5) Of Arbitration Act: J&K High Court

Live Law  

The Jammu & Kashmir and Ladakh High Court bench of Chief Justice Tashi Rabstan has held that managing director or chairman of a party to the arbitration agreement cannot be appointed as Arbitrator in light of section 12 read with Seventh Schedule of the Arbitration Act. The petitioner submitted that the appointment of Managing Director/Chairman of the respondent as Arbitrator …

Referral Court U/S 11 Of Arbitration Act Cannot Enter Into Merits Of Subject Matter Of Disputes: Rajasthan High Court
Trending News
1 month ago

Referral Court U/S 11 Of Arbitration Act Cannot Enter Into Merits Of Subject Matter Of Disputes: Rajasthan High Court

Live Law  

The Rajasthan High Court bench of Justice Sudesh Bansal has held that the court under section 11 of the Arbitration Act cannot enter into merits of subject matter of the disputes. It submitted that since the disputes/ differences have arisen between the parties, due to noncompliance of the collaboration agreement, which are arbitral in nature and an arbitration agreement incorporated …

Once Person Empowered To Nominate Arbitrator Becomes Ineligible U/S 12(5), Matter Shall Not Be Referred To Arbitration: Patna High Court
1 month ago

Once Person Empowered To Nominate Arbitrator Becomes Ineligible U/S 12(5), Matter Shall Not Be Referred To Arbitration: Patna High Court

Live Law  

The Patna High Court bench of Chief Justice K Vinod Chandran has held that once the person empowered to nominate an arbitrator under an arbitration clause becomes ineligible to nominate the arbitrator, the matter shall not referred to the Arbitration. On the other hand it is the case of the respondent that the Patna High Court in State of Bihar …

Two Arbitration Petitions For Same Relief Cannot Be Filed: Chhattisgarh High Court
1 month, 1 week ago

Two Arbitration Petitions For Same Relief Cannot Be Filed: Chhattisgarh High Court

Live Law  

The Chhattisgarh High Court bench of Chief Justice Mr. Ramesh Sinha has held that two arbitration petitions for the same relief cannot be filed. The members of the applicant Society are the lessees of the respondent, a registered private Company and all the individual members have entered into lease agreement for transfer of individual shop. It also submitted that despite …

'Time Served On Duty Is Immaterial If Appointment Is Not As Per Law', Patna High Court
1 month, 2 weeks ago

'Time Served On Duty Is Immaterial If Appointment Is Not As Per Law', Patna High Court

Live Law  

A Division Bench of the Patna High Court comprising Justices P. B. Banjanthri and B. PD. Singh held that if a candidate's appointment was not as per law, it would be immaterial as to how many years he has discharged duties in relation to the post. The Bench upheld the order of the Single Judge that had denied relief to …

Objections On Capacity Of Party To Initiate Arbitration Must Be Addressed Before Tribunal, Not While Appointing Arbitrator: Delhi HC
Trending News
1 month, 4 weeks ago

Objections On Capacity Of Party To Initiate Arbitration Must Be Addressed Before Tribunal, Not While Appointing Arbitrator: Delhi HC

Live Law  

The Delhi High Court bench of Justice Sachin Datta has held that the objections as regards the capacity of the party to initiate arbitration is an aspect which is necessarily required to be gone into the arbitration proceedings, however, the same could not preclude the constitution of an Arbitral Tribunal. The court held that a party may raise appropriate jurisdictional/preliminary …

Pre-Requirement Of Conciliation Before Invoking Arbitration Can't Prevent Filing Of Application U/S 11 Of Arbitration Act: Delhi High Court
1 month, 4 weeks ago

Pre-Requirement Of Conciliation Before Invoking Arbitration Can't Prevent Filing Of Application U/S 11 Of Arbitration Act: Delhi High Court

Live Law  

The Delhi High Court bench of Justice Subramonium Prasad has held that pre requirement of conciliation in an arbitration clause before invoking the arbitration cannot be a bar to file an application under section 11 of the Arbitration Act seeking appointment of an Arbitrator. That disputes have arisen between the parties regarding payment of dues.,the Petitioner herein invoked Clause 17.7 …

Govt cannot unilaterally appoint arbitrators: SC judgment
2 months ago

Govt cannot unilaterally appoint arbitrators: SC judgment

Hindustan Times  

The Supreme Court on Friday ruled that government entities and public sector units cannot unilaterally appoint arbitrators in public-private arbitration agreements because such clauses violate the principle of equality under Article 14 of the Constitution. The bench, led by Chief Justice of India DY Chandrachud and including justices Hrishikesh Roy, PS Narasimha, Pankaj Mithal and Manoj Misra, grappled with pressing …

Unilateral Arbitrator Appointment Clauses In Public-Private Contracts Invalid; Can't Compel Selection Of Arbitrators From PSU's Panels : Supreme Court
2 months, 1 week ago

Unilateral Arbitrator Appointment Clauses In Public-Private Contracts Invalid; Can't Compel Selection Of Arbitrators From PSU's Panels : Supreme Court

Live Law  

The Supreme Court on Friday ruled against clauses allowing Public Sector Undertakings to unilaterally appoint arbitrators to decide disputes with private contractors. The Constitution Bench held that while PSUs can maintain a panel of potential arbitrators, they cannot compel the other party to select its arbitrator from the panel.The Constitution Bench comprising Chief Justice. The Constitution Bench comprising Chief Justice …

Delhi High Court Rules on Appointment of Arbitral Tribunal: Invalid Procedures Before Improper Arbitral Tribunal Are Non-Est
2 months, 3 weeks ago

Delhi High Court Rules on Appointment of Arbitral Tribunal: Invalid Procedures Before Improper Arbitral Tribunal Are Non-Est

Live Law  

The Delhi High Court has held that any proceedings before an improperly constituted arbitral tribunal are non-est. This means that any disputes arising from an improperly constituted arbitral tribunal are not subject to arbitration. The court also held that whether a particular claim is precluded from arbitration on account of being an excepted matter should be decided by a duly …

Arbitration Clause Valid Despite Even Number Of Arbitrators: Delhi High Court Allows Section 11(6) Petition
7 months ago

Arbitration Clause Valid Despite Even Number Of Arbitrators: Delhi High Court Allows Section 11(6) Petition

Live Law  

The Delhi High Court bench of Justice Jasmeet Singh has held that the arbitration clause is not invalidated merely on the ground that the number of arbitrators, as per the arbitration clause, was an even number and therefore, was in contravention of Section 10 of the Arbitration and Conciliation Act, 1996. All disputes shall be subjected to Delhi Jurisdiction only.” …

Issues On Merits, Should Be Raised Before Arbitrator, Not In Section 11 Proceedings ; Delhi High Court
7 months, 3 weeks ago

Issues On Merits, Should Be Raised Before Arbitrator, Not In Section 11 Proceedings ; Delhi High Court

Live Law  

The Delhi High Court bench of Justice Neena Bansal Krishna held that objection regarding the insufficiency of service is considered to be on merits and therefore should be raised before the Arbitrator. Brief Facts: The petitioner, Delhivery Limited, and the Respondent, Far Left Retail Private Limited, entered into a Service Agreement, which later resulted in a dispute. Consequently, the Petitioner …

Appointment Of Arbitrator In Violation Of S. 12(5) Of A&C Act Is Void, Waiver Of This Provision Requires Explicit Written Agreement: Kerala High Court
8 months, 3 weeks ago

Appointment Of Arbitrator In Violation Of S. 12(5) Of A&C Act Is Void, Waiver Of This Provision Requires Explicit Written Agreement: Kerala High Court

Live Law  

The Kerala High Court single bench of Justice G. Girish held that the exemption provided for under the proviso of Section 12 of the Arbitration and Conciliation Act applies only in cases where there is a waiver explicitly agreed upon in writing by the parties involved. Feeling aggrieved, the Petitioner approached the Kerala High Court under Section 14 read with …

An Award Issued By Unilaterally Appointed Arbitrator Can Be Contested For Invalidity Of Appointment, Even By The Appointing Party: Delhi High Court
8 months, 3 weeks ago

An Award Issued By Unilaterally Appointed Arbitrator Can Be Contested For Invalidity Of Appointment, Even By The Appointing Party: Delhi High Court

Live Law  

The High Court of Delhi has held that an award passed by a unilaterally appointed arbitrator can be challenged on ground of invalidity of such appointment and consequent lack of jurisdiction even by the party who made such an appointment. Analysis by the Court The Court relied observed that the Apex Court in Bharat Broadband Network Ltd. vs. United Telecom …

Employees Appointed On Ad Hoc Basis, Not Entitled To Salary Attached To A Post, Unless Appointed In A Substantive Capacity: Patna High Court
9 months, 1 week ago

Employees Appointed On Ad Hoc Basis, Not Entitled To Salary Attached To A Post, Unless Appointed In A Substantive Capacity: Patna High Court

Live Law  

A division bench of the Patna High Court comprising of Justice P. B. Bajanthri and Justice Arun Kumar Jha, while deciding Letters Patent Appeals in the case of Ganesh Mahto vs The State of Bihar, held that employees are not entitled to salary attached to the post for which they are appointed on Ad hoc basis, unless and until they …

Arbitration Act | When Parties Engage In Constant Communication, Unjust To Dismiss Claim Solely On Grounds Of Being Time-Barred: Calcutta High Court
9 months, 2 weeks ago

Arbitration Act | When Parties Engage In Constant Communication, Unjust To Dismiss Claim Solely On Grounds Of Being Time-Barred: Calcutta High Court

Live Law  

The Calcutta High Court single bench of Justice Moushumi Bhattacharya held that it would be an unnatural construction of Section 11 of the Arbitration and Conciliation Act, 1996 where a party with a bona fide and a genuine claim is left in the lurch on the defence of the claim being barred by limitation. Brief Facts: The Petitioner approached the …

Unilateral Appointment Of Arbitrator By Party: Delhi High Cout Set Aside Arbitral Award As It Contravened Section 12(5) A&C And & 7th Schedule
9 months, 3 weeks ago

Unilateral Appointment Of Arbitrator By Party: Delhi High Cout Set Aside Arbitral Award As It Contravened Section 12(5) A&C And & 7th Schedule

Live Law  

The Delhi High Court single bench of Justice Jasmeet Singh held aside an arbitral award noting that the arbitrator was unilaterally appointed by the Respondent. The bench held that that the unilateral appointment of the Sole Arbitrator by Respondent was non-est in law, as it contravened Section 12 read with the Seventh Schedule of the Arbitration and Conciliation Act, 1996. …

One Party Cannot Appoint 2/3rd Of The Arbitral Tribunal: Delhi High Court
9 months, 3 weeks ago

One Party Cannot Appoint 2/3rd Of The Arbitral Tribunal: Delhi High Court

Live Law  

The High Court of Delhi has held that a panel for appointment of arbitrator cannot be restricted to mere 3 names as it would violate broad-based representation. The Court also reiterated that mere illegality of the appointment procedure would not make the entire arbitration clause invalid as the illegal portion can be severed with the remaining portion of the clause …

Even If Arbitral Award Set Aside For Non-Compliance With Section 12, Parties Can File Fresh Section 11 Application For Arbitrator Appointment: Delhi High Court
10 months, 2 weeks ago

Even If Arbitral Award Set Aside For Non-Compliance With Section 12, Parties Can File Fresh Section 11 Application For Arbitrator Appointment: Delhi High Court

Live Law  

The Delhi High Court single bench of Justice Dinesh Kumar Sharma held that mere invalidation or unenforceability of the arbitrator appointment process does not render the entire arbitration clause void. The bench held that even if an arbitration award is set aside due to unilateral appointment and non-compliance with Section 12 of the Arbitration Act, fundamental agreement between the parties …

GCC Clause For Appointment OF Three Gazetted Railway Officers Panel For Arbitration Violates Section 12(5) A&C: Calcutta High Court
10 months, 2 weeks ago

GCC Clause For Appointment OF Three Gazetted Railway Officers Panel For Arbitration Violates Section 12(5) A&C: Calcutta High Court

Live Law  

The Calcutta High Court single bench of Justice Moushumi Bhattacharya held that the clause in General Conditions of Contract stipulating appointment of a panel of three gazetted railway officers for arbitration violated Section 12 of the Arbitration and Conciliation Act, 1996, read with the Fifth and Seventh Schedules of the Act. The Petitioner approached the Calcutta High Court for appointment …

No Need For Notice To Invoke Fresh Arbitration Where Analogous Arbitral Proceedings Going: Delhi High Court Allows Section 11(6) Petition
10 months, 3 weeks ago

No Need For Notice To Invoke Fresh Arbitration Where Analogous Arbitral Proceedings Going: Delhi High Court Allows Section 11(6) Petition

Live Law  

The Delhi High Court single bench of Justice Manoj Kumar Ohri held that in cases where there are analogous arbitration proceedings related to other agreements, there is no need to invoke fresh arbitration by issuing a notice under Section 21 of the Arbitration Act. The Petitioner approached the Delhi High Court and filed a petition under Section 11 of the …

Exclusive Supervisory Jurisdiction Granted To Court Receiving First Application Under Arbitration Act, Bombay HC Limits Territorial Jurisdiction
11 months, 1 week ago

Exclusive Supervisory Jurisdiction Granted To Court Receiving First Application Under Arbitration Act, Bombay HC Limits Territorial Jurisdiction

Live Law  

The Bombay High Court bench comprising Justice Neela Gokhale held that in cases where an application has been made in a court concerning an arbitration agreement, that court alone possesses jurisdiction over an application for appointment of arbitrator under Section 11 of the Arbitration and Conciliation Act, 1996. Aggrieved by the same, the Petitioner filed a petition under Section 11 …

Mere Negotiations Will Not Postpone The Cause Of Action For Appointment Of An Arbitrator: Telangana High Court
1 year ago

Mere Negotiations Will Not Postpone The Cause Of Action For Appointment Of An Arbitrator: Telangana High Court

Live Law  

The High Court of Telangana has held that mere negotiations between the parties related to the dispute would not delay the cause of action for the purpose of limitation for the appointment of the arbitrator. Moreover, the invocation of the arbitration is also time barred as the application as been moved after the expiry of the 3 years time period …

Statement Made Before The Arbitrator Withdrawing Objection To Unilateral Appointment Would Not Suffice 'Express Agreement' Required Under Section 12(5) Of The A&C Act: Delhi High Court
1 year ago

Statement Made Before The Arbitrator Withdrawing Objection To Unilateral Appointment Would Not Suffice 'Express Agreement' Required Under Section 12(5) Of The A&C Act: Delhi High Court

Live Law  

The High Court of Delhi has held that a statement made by a party's counsel before the Arbitrator withdrawing objection to unilateral appointment would not suffice 'express agreement' required under Section 12 of the A&C Act The bench of Justice Jyoti Singh reiterated that ineligibility of the arbitrator goes to the root of the matter and any award passed by …

A Party Cannot Be Compelled To Appoint An Arbitrator From A Narrow Panel Consisting Of 3 Persons: Delhi High Court Reiterates
1 year ago

A Party Cannot Be Compelled To Appoint An Arbitrator From A Narrow Panel Consisting Of 3 Persons: Delhi High Court Reiterates

Live Law  

The High Court of Delhi has held that a panel of arbitrators consisting of merely 3 persons is not broad-based, therefore, a party cannot be compelled to appoint the arbitrator from such a narrow panel. The bench of Justice Jyoti Singh also reiterated that mere participation in the arbitral proceedings cannot be constituted as a waiver to application of Section …

All Orders By Court/ Tribunal Including Ex Parte Are Amenable To Writ Jurisdiction U/Art 226 & 227 Of Constitution: Patna HC
1 year, 1 month ago

All Orders By Court/ Tribunal Including Ex Parte Are Amenable To Writ Jurisdiction U/Art 226 & 227 Of Constitution: Patna HC

Live Law  

The Patna High Court has observed that any order or judgment issued by a Court or Tribunal, even if done ex parte, can be subjected to the writ jurisdiction under Articles 226 and 227 of the Constitution. Referring to the Supreme Court's 2020 decision in the case of N. Mohan Vs. R. Madhu, Justice Harish Kumar observed, “The analogy, which …

Entire Arbitration Not Invalid By Illegality Of Appointment Procedure: Delhi High Court Reiterates
1 year, 1 month ago

Entire Arbitration Not Invalid By Illegality Of Appointment Procedure: Delhi High Court Reiterates

Live Law  

The High Court of Delhi has held that an arbitration clause does not become illegal by mere illegality of the appointment procedure provided therein. The bench of Justice Sachin Datta held that the procedure for appointment of an arbitrator is clearly distinct and separable from the agreement to refer disputes to arbitration, even if these are contained in the same …

Court Under Section 11 Of The A&C Act Can Sever Offending Part Of Arbitration Clause: Delhi High Court
1 year, 1 month ago

Court Under Section 11 Of The A&C Act Can Sever Offending Part Of Arbitration Clause: Delhi High Court

Live Law  

The High Court of Delhi has held that the Court exercising powers under Section 11 of the A&C Act can sever an illegal/offending portion of the arbitration clause. The bench of Justice Sachin Datta held that an arbitration clause does not become illegal by mere illegality of the appointment procedure provided therein, therefore, the Court u/s 11 can sever the …

Right Of A Party To Nominate 2/3rd Of The Arbitral Tribunal Violates Counter-Balancing: Delhi High Court Reiterates
1 year, 1 month ago

Right Of A Party To Nominate 2/3rd Of The Arbitral Tribunal Violates Counter-Balancing: Delhi High Court Reiterates

Live Law  

The High Court of Delhi has held that an arbitration clause that confers on a party the right to nominate 2/3rd of arbitral tribunal violates the principles of 'counter-balancing' as sought to be achieved by the Supreme Court in the landmark judgment in Perkins. That the Supreme Court in CORE has upheld the validity of a similarly worded arbitration clause …

Panel Consisting Of 5 Arbitrators Is Not Broad-Based, Party Can’t Be Compelled To Nominate : Delhi High Court
1 year, 3 months ago

Panel Consisting Of 5 Arbitrators Is Not Broad-Based, Party Can’t Be Compelled To Nominate : Delhi High Court

Live Law  

The High Court of Delhi has held that a panel consisting of only 5 arbitrators in not broad-based and the party drawing up such a panel cannot insist or compel the other party to nominate its arbitrator from such a narrow panel. The bench of Justice Rekha Palli held that it is incumbent upon the Court to appoint the arbitrator …

Arbitration Clause Allowing One Party To Appoint 2/3rd Of Arbitral Tribunal Is Not Enforceable: Delhi High Court
1 year, 3 months ago

Arbitration Clause Allowing One Party To Appoint 2/3rd Of Arbitral Tribunal Is Not Enforceable: Delhi High Court

Live Law  

The Delhi High Court has held that an arbitration clause wherein one of the contracting party has the power to appoint the 2/3rd members of the arbitral tribunal and compels the other party to choose its nominee arbitrator from a narrow panel of only 5 names is not enforceable in law. The bench of Justice Rekha Palli held that a …

[Dominus Litis] Court Can Add Parties Necessary For Proper Adjudication Of Suit Despite Resistance By Plaintiff: Patna High Court
1 year, 3 months ago

[Dominus Litis] Court Can Add Parties Necessary For Proper Adjudication Of Suit Despite Resistance By Plaintiff: Patna High Court

Live Law  

The Patna High Court has underscored that a court can add parties in a lawsuit if deemed necessary for effective adjudication, regardless of the plaintiff's preferences. Justice Sunil Dutt Mishra observed, "Mere addition of the intervenor as a party will not create an interest in the suit property and in considered view of this Court the presence of the intervenor …

Arbitration Cases Weekly Round-Up: 17 July To 23 July 2023
1 year, 5 months ago

Arbitration Cases Weekly Round-Up: 17 July To 23 July 2023

Live Law  

Calcutta High Court: Party’s Right To Choose Arbitrator Cannot Be Revived Once It Is Surrendered To Court U/S 11 Arbitration Act: Calcutta High Court Case Title: Srei Equipment Finance Limited vs Seirra Infraventure Private Limited The Calcutta High Court has recently held that when a party forfeits its right to appoint an arbitrator in accordance with Section 11 of the …

Patna High Court Appoints Justice Mridula Mishra As Arbitrator In Educomp Solutions Vs BSEDC Dispute
1 year, 5 months ago

Patna High Court Appoints Justice Mridula Mishra As Arbitrator In Educomp Solutions Vs BSEDC Dispute

Live Law  

The Patna High Court has appointed Justice Mridula Mishra, its former judge, as an independent arbitrator to resolve the ongoing dispute between Educomp Solutions Ltd and Bihar State Electronics Development Corporation Limited. During the hearing, the petitioner cited Article 21 of the Arbitration Agreement and specifically highlighted that when the matter was referred to the Bihar Public Works Contract Disputes …

“Counter-Balancing” Not Achieved When 2/3rd Members Of The Arbitral Tribunal To Be Appointed By One Party: Delhi High Court
1 year, 6 months ago

“Counter-Balancing” Not Achieved When 2/3rd Members Of The Arbitral Tribunal To Be Appointed By One Party: Delhi High Court

Live Law  

The Delhi High Court has ruled that where a party is required to appoint an arbitrator from a panel made by the other contracting parties, it is mandatory for the panel to be sufficiently broad based, in conformity with the principle laid down by the top court in Voestalpine Schienen Gmbh vs. Delhi Metro Rail Corporation Ltd, 4 SCC 665. …

Unilateral Appointment of Arbitrator: In defense of Legislative Intention
1 year, 7 months ago

Unilateral Appointment of Arbitrator: In defense of Legislative Intention

Live Law  

The Government’s undying effort to make India a truly globalized economy and an attractive spot for investment has laid the foundation for a robust international arbitration framework. The biggest inducement for non-Indian entities to choose Indian Law as the governing law is the assurance of principles of party autonomy inter alia laid under Section 11 of the Arbitration and Conciliation …

Patna High Court Dismisses Plea Seeking Reservation For Freedom Fighters' Grandchildren In Recruitment Of Assistants In HC
1 year, 7 months ago

Patna High Court Dismisses Plea Seeking Reservation For Freedom Fighters' Grandchildren In Recruitment Of Assistants In HC

Live Law  

The Patna High Court recently dismissed a petition seeking reservation for grandchildren of freedom fighters in the recruitment for the position of Assistants in the High Court. The petition was filed by Vikash Kumar after the High Court invited online applications on 03-02-2023 from eligible candidates for appointment to 550 vacant posts of Assistants in the Patna High Court. The …

Illegality Of The Appointment Procedure Does Not Render The Entire Arbitration Agreement Invalid: Bombay High Court
1 year, 8 months ago

Illegality Of The Appointment Procedure Does Not Render The Entire Arbitration Agreement Invalid: Bombay High Court

Live Law  

The Bombay High Court has held that illegality of the appointment procedure does not render the entire arbitration agreement invalid. The bench of Justice Avinash G. Gharote held that merely because the procedure for the appointment of the arbitrator under the arbitration agreement is rendered invalid on account of the insertion of Section 12 and the Supreme Court judgment in …

Court May Decline To Refer Parties To Arbitration If Dispute Doesn’t Correlate To Arbitration Agreement: Delhi High Court Reiterates
1 year, 9 months ago

Court May Decline To Refer Parties To Arbitration If Dispute Doesn’t Correlate To Arbitration Agreement: Delhi High Court Reiterates

Live Law  

The Delhi High Court has reiterated that mere existence of an arbitration agreement or arbitration clause would not be sufficient to refer the parties to arbitration and that even in the presence of an arbitration agreement, the court may decline to refer the parties to arbitration if the dispute does not correlate to the said agreement. The bench of Justice …

Arbitrator Who Accepted Brief Of Party’s Lawyer In An Unrelated Matter, No Clash of Interest Involved: Bombay High Court
1 year, 11 months ago

Arbitrator Who Accepted Brief Of Party’s Lawyer In An Unrelated Matter, No Clash of Interest Involved: Bombay High Court

Live Law  

The Bombay High Court has ruled that there is no clash of interest involved where the Arbitrator had acted as a counsel and represented the Advocate representing the opposite party, in another unrelated matter for some other client. In a petition filed before the Bombay High Court under Section 11 of the A&C Act, the Court appointed a Sole Arbitrator …

Court Not Powerless To Appoint Appropriate Arbitral Tribunal, Even If Party Forfeits Its Right Under Arbitration Clause: Bombay High Court
1 year, 11 months ago

Court Not Powerless To Appoint Appropriate Arbitral Tribunal, Even If Party Forfeits Its Right Under Arbitration Clause: Bombay High Court

Live Law  

The Bombay High Court has ruled that even if a party’s right to appoint its nominee in the Arbitral Tribunal as per the arbitration clause, is forfeited because it failed to exercise its right within the statutory period after receiving the notice invoking arbitration, it would not render the Court powerless to appoint an appropriate Arbitral Tribunal, after considering the …

Institutional Arbitration – Breaking The Deadlock In Small-Value Lending Disputes
2 years ago

Institutional Arbitration – Breaking The Deadlock In Small-Value Lending Disputes

Live Law  

A commercial court in Delhi recently rejected an application to enforce an arbitral award due to unilateral appointment of the sole arbitrator in the dispute. It would be expedient for lenders to incorporate an appropriate institutional arbitration clause in the loan agreements; however, the challenge arises in legacy agreements containing unilateral appointment clauses. Interestingly, the commercial court of Delhi also …

Request For Appointment Of Arbitrator, Is Not A Waiver Of Right To Disqualify Under S. 12 (5) Of The Act: Delhi High Court
2 years ago

Request For Appointment Of Arbitrator, Is Not A Waiver Of Right To Disqualify Under S. 12 (5) Of The Act: Delhi High Court

Live Law  

The Delhi High Court has ruled that a unilateral request made by one of the parties for setting the appointment procedure in motion, as provided in the arbitration agreement, would not constitute an agreement falling under the proviso to Section 12 of the Arbitration and Conciliation Act, 1996 to waive off the disqualification contemplated under Section 12. The bench of …

Clause Merely Providing Departmental Remedies, For Faster Resolution Of Disputes; Does Not Constitute An Arbitration Agreement: Bombay High Court
2 years, 1 month ago

Clause Merely Providing Departmental Remedies, For Faster Resolution Of Disputes; Does Not Constitute An Arbitration Agreement: Bombay High Court

Live Law  

The Bombay High Court has ruled that the power of appointment of arbitrator by the High Court under Section 11 of the Arbitration and Conciliation Act, 1996, cannot be deemed to have a precedential value. Rejecting the contention of the applicant that the Court must, 'by default', refer the disputes to arbitration while deciding a Section 11 application, the bench …

Participation In Arbitral Proceedings, Does Not Disentitle Party To Challenge Award On Ground Of Unilateral Appointment Of Arbitrator: Bombay High Court
2 years, 1 month ago

Participation In Arbitral Proceedings, Does Not Disentitle Party To Challenge Award On Ground Of Unilateral Appointment Of Arbitrator: Bombay High Court

Live Law  

The Bombay High Court has ruled that merely because a party participated in the arbitration proceedings, it is not disentitled from challenging the arbitral award on the ground that the arbitration proceedings were vitiated due to the unilateral appointment of the Arbitrator by the opposite party, falling foul of Section 12 read with the Seventh Schedule of the Arbitration and …

Invalidity Of The Appointment Procedure Would Not Render The Entire Arbitration Clause Invalid: Delhi High Court
2 years, 1 month ago

Invalidity Of The Appointment Procedure Would Not Render The Entire Arbitration Clause Invalid: Delhi High Court

Live Law  

The High Court of Delhi has held that merely because the procedure for the appointment of the arbitrator has become invalid due to 2015 amendment act, the same would not render the entire arbitration clause invalid. The bench of Justice Anup Jairam Bhambhani held that there are several elements present in an arbitration clause such as procedure for appointment of …

Circumstances Mentioned Under Schedules V Do Not Per Se Render The Arbitrator Ineligible: Delhi High Court
2 years, 2 months ago

Circumstances Mentioned Under Schedules V Do Not Per Se Render The Arbitrator Ineligible: Delhi High Court

Live Law  

The High Court of Delhi has held that unlike Schedule VII, the circumstances mentioned under the Vth Schedule do not per se render an arbitrator ineligible to be appointed as arbitrator unless it is established that the arbitrator's neutrality was indeed compromised. Grounds of Appeal The appellant challenged the award on the following grounds: The arbitrator was ineligible to be …

A Party Cannot Be Made To Nominate Its Arbitrator From A Narrow Panel Of 4 Arbitrators Consisting Of Retired Officers Of The Other Party: Delhi High Court
2 years, 2 months ago

A Party Cannot Be Made To Nominate Its Arbitrator From A Narrow Panel Of 4 Arbitrators Consisting Of Retired Officers Of The Other Party: Delhi High Court

Live Law  

The High Court of Delhi has held that a panel of arbitrator with only four names to choose from does not satisfy the concept of neutrality of arbitrators. The bench of Justice Mini Pushkarna held that the contractor cannot be made to choose its nominee arbitrator from a panel of only four names and that too when the final choice …

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