SURESH KUMAR KAIT
Pragati Construction Consultants – Appellant
Versus
Union Of India – Respondent
JUDGMENT
(Oral)
1. The relief sought in the present petition before this Court is to appoint sole Arbitrator under Section 11(6) of the Arbitration and Conciliation Act, 1996 to adjudicate the disputes between the parties in accordance with clause 63 and 64 of the General Conditions of the Contract, 2014.
2. It is stated by the petitioner that respondent vide letter dated 03.05.2016 had awarded the work of extensive repairs and complete renovation of old washing line nos.3, 4 & 5 including assembling and linking of track and other allied works at Coach Care Centre, Hazrat Nizammuddin at New Delhi. The total cost of work at the accepted rates was worked out at Rs. 12,07,05,992.60/-. The stipulated date of completion of work was 15 months from the date of issuance of acceptance letter. Thus, in the present case, the stipulated date for completion of work was 02.08.2017.
3. It is contended by the petitioner that immediately upon the award of work, petitioner fully mobilized at the site and constructed the labour hutments which was duly confirmed vide letter dated 07.05.2016 issued to the respondent. During the execution of the work, respondent got various extra items executed at the site
The main legal point established is the necessity of appointing an independent arbitrator to resolve disputes, in accordance with the provisions of the Arbitration and Conciliation Act, 1996 and rele....
The court affirmed that arbitration proceedings should be initiated to resolve disputes, even if a no-claim certificate is invoked, unless the claims are manifestly devoid of merit.
A unilateral appointment of an arbitrator violates principles of unbiased dispute resolution. An arbitrator must be appointed consensually or by the court.
No single party can be permitted to unilaterally appoint the Arbitrator, as it would defeat the purpose of unbiased adjudication of dispute between parties.
The court confirmed the validity of invoking arbitration under the Arbitration and Conciliation Act when disputes arise over contract performance and payment.
Arbitration Agreement - Appointment of - The learned Arbitrator shall ensure compliance of Section 12 of Arbitration and Conciliation Act, 1996 before commencing the arbitration.
Appointment of a sole arbitrator must comply with the provisions of the Arbitration and Conciliation Act, 1996 and should not be in violation of relevant legal precedents.
The court sanctioned the appointment of an Arbitrator despite procedural violations, highlighting the importance of adherence to statutory provisions while respecting the parties' agreements.
The main legal point established in the judgment is the court's authority to appoint an arbitrator as per the contract clause and the provisions of the Arbitration and Conciliation Act, 1996.
The main legal point established is that the appointment of an arbitrator must be in accordance with the law and the parties' written consent, and the court has the authority to appoint an arbitrator....
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