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VIBHU BAKHRU
Bw Businessworld Media Pvt. Ltd. – Appellant
Versus
Indian Railway Catering And Tourism Corporation Limited – Respondent
ORDER
Vibhu Bakhru, J. (Oral). - The petitioner has filed the present petition under Sections 14 and 15 of the Arbitration and Conciliation Act, 1996 (hereafter 'the A&C Act'), inter alia, praying that the mandate of Mr Harsh Kumar, learned Sole Arbitrator, be terminated and another Arbitrator be appointed in his place.
2. The respondent company issued a Notice Inviting Tenders (NIT) dated 26.04.2018 inviting tenders for publishing and distribution of "On- Board Magazine for Indian Railways-Rail Bandhu". The petitioner submitted its bid pursuant to the said NIT along with the earnest money of Rs. 2,00,000/-. The said bid was accepted by a Letter of Award (LOA) dated 14.08.2018 and the petitioner was awarded the contract for publishing and distribution of "On- Board Magazine for Indian Railways-Rail Bandhu." (hereafter the 'Contract')
3. Certain disputes have arisen between the parties in connection with the Contract. On 12.03.2019, the respondent terminated the Contract. Thereafter, on 15.05.2019, the petitioner issued a notice under Section 21 of the A&C Act invoking the Arbitration Agreement as embodied in Clause 10 of the Terms and Conditions as applicable to the Contract.
4. The pe
Point of Law : Proviso to Section 12(5) of the A&C Act, there is no scope for entertaining the submission that the petitioner had, by his conduct, impliedly waived its right under Section 12(5) of th....
Point of Law : Proviso to Section 12(5) of the A&C Act, there is no scope for entertaining the submission that the petitioner had, by his conduct, impliedly waived its right under Section 12(5) of th....
The court established that an arbitrator appointed by an ineligible individual cannot act, and waivers of objections regarding ineligibility must be expressed in writing, not inferred by conduct.
Point of Law : It is not open for the petitioner to challenge the learned Arbitrator on the ground that there are justifiable doubts as to his independence and impartiality in terms of the Guidelines....
Unilateral appointment of an Arbitrator by a party is impermissible, and the ineligibility of the Arbitrator under Section 12(5) of the A&C Act is a valid ground for challenging the appointment.
The appointment of an arbitrator must comply with Section 12(5) of the Arbitration & Conciliation Act, ensuring independence and impartiality, regardless of when the arbitration proceedings were init....
The main legal point established in the judgment is the importance of impartiality and independence of the arbitrator, as well as the eligibility criteria for arbitrators under the A&C Act, 1996.
An ineligible arbitrator appointed unilaterally violates Section 12(5) of the Arbitration and Conciliation Act, rendering the arbitral award invalid.
The appointment of an arbitrator must comply with the Arbitration and Conciliation Act, particularly Section 12(5), which disqualifies certain individuals from serving as arbitrators.
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