JUDGMENT

SABYASACHI MUKHARJI, J. :—Special leave granted.

2. This is an appeal from the judgment and order dated October 12, 1987 of the Division Bench of the High Court of Bombay. The appellant had chartered their vessel KRISTEL to respondent for carrying oil from Arabian Gulf to India under a charter party, dated 30th November, 1979. Clause 40(a) of the charter party provided that the charter shall be construed and the relations between the parties shall be determined in accordance with the English law, Clause 40(b) of the charter party provided that any dispute arising under the charter party shall be decided by the English Courts but that either party may elect, in writing, to have the dispute referred to the arbitration of a single arbitrator in London in accordance with the (English) Arbitration Act, 1950.

3. Disputes and differences arose between the parties, and they appointed one Mr. Robert William Reed of the Baltic Exchange and of 28, Reddons Road, Beckenham, Rent BR 3 ILZ to be the sole arbitrator. The parties appeared before the arbitrator represented by their respective Solicitors and counsel. The arbitrator made his award on 28th July, 1982 which contained, inter alia