Failure to appoint an arbitrator within the stipulated time results in the loss of the right to do so, leading the court to have jurisdiction to appoint an arbitrator.

( 1 ) THIS order shall dispose of petitioner s petition under Section 11 (6) of the Arbitration and Conciliation Act, 1996 for appointment of an Arbitrator in respect of disputes which have arisen with the respondent. .

( 2 ) THE petitioner contended that he is a proprietor of the firm M/s. Purna nand and he was awarded a work by the Executive Engineer Br. IV by work order no. EE (BR-IV)/tc/2001-2002/504 dated 7th January, 2002 to construct Chest clinic and Health Centre cum Maternity Centre at Sector VII, Rohini on payment of agreed contractual amount of Rs. 1,44,18,107/ -. An agreement was executed between the parties which contained clause 25 having an arbitration agreement. The arbitration agreement in clause 25 between the parties is as under:-"clause 25 settlement of Disputes and Arbitration except where otherwise provided in the contract all questions and disputes relating to the meaning of the specification, design, drawings and instructions here-in-before mentioned and as to the quality of workmanship or materials as used on the work or as to any other question, claim, right, matter or thing whatsoever in any way arising out of relating to the contract, designs, drawings, specifications, estimates, instructions, orders or these condition or otherwise concerning the works or the execution of failure to except the same whether arising during the progress of the work or after the cancellation, termination, completion or abandonment thereof shall be deal with as mentioned hereinafter: (i) If the contractor consider any work demanded of him to be outside the requirements of the contract, or disputes any drawings, record or decision given in writing by the Engineer-Incharge on any matter in connection with or arising out of the contract of carrying out of the work, to be unacceptable, he shall promptly within 15 days request the Superintending Engineer in writing for written instruction or decision. Thereupon, the Superintending Engineer shall give his written instructions or decision within a period of one month from the receipt of the contractor s letter.

( 3 ) IF the Superintending Engineer fails to give his instructions or decision in writing within the aforesaid period or if the contractor may, within 15 days of the receipt of Superintending Engineer s decision, appeal to the Chief engineer who shall afford an opportunity to the contractor to be head, if the latter so desires, and to offer evidence in support of his appeal. The chief engineer shall give his decision within 30 days of receipt of contractors appeal. If the contractor is dissatisfied with this decision, the contractor shall within a period of 30 days from the receipt of the decision, give notice to the Commissioner M. C. D. for appointment of arbitrator failing which the said decision shall be final binding and conclusive and not referable to adjudication by the arbitrator. (ii) Except where the decision has become final, binding and conclusive in terms of Sub Para (I) above disputes or difference shall be referred for adjudication through arbitration a sole arbitrator appointed by the Commissioner m. C. D. If the arbitrator so appointed is unable or unwilling to act or resigns his appointment or vacates his office due to any reason whatsoever another sole arbitrator shall be appointed in the manner aforesaid. Such person shall be entitled to proceed with the reference from the stage at which it was left by his predecessor.

( 4 ) IT is a term of this contract that the party invoking arbitration shall give a list of disputes with amounts claimed in respect of each such dispute along with the notice for appointment of arbitrator and giving reference to the rejection by the Chief Engineer of the appeal. It is also a term of this contract that no person other than a person appointed by such Commissioner M. C. D. as aforesaid should act as arbitrator and if for any reason that is not possible, the matter shall not be referred to arbitration at a