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2021 Supreme(Del) 2297

IN THE HIGH COURT OF DELHI AT NEW DELHI
C. Hari Shankar, J.
National Research Development Corporation An Enterprises Of Department Of Scientific Industrial Research Ministry Of Science And Technology Government Of India & Anr - Appellant
Versus
M/s Saveer Biotech Ltd - Respondent
Arb.P. No. 289 of 2020
Decided On : 26-03-2021

Advocates appeared:
Rama Shankar, Advocate, Sanjay Sudan, Advocate

The appointment of an arbitrator is based on the arbitration clause in the agreement, which governs the process for resolving disputes between the parties.

Headnote:

Arbitration - Appointment of Arbitrator - The court appointed an arbitrator to arbitrate on the disputes between the parties based on the arbitration clause in the agreement, which provided for the disputes to be referred to the sole arbitration of the Secretary of Department of Legal Affairs, Govt. of India or his nominee.

Fact of the Case:

The petition was filed under Section 11(6) of the Arbitration and Conciliation Act, 1996 to appoint an arbitrator to arbitrate on the disputes between the parties. The respondent had no objection to the disputes being referred to arbitration.

Finding of the Court:

The court appointed Mr. Kamal Nijhawan, Senior Advocate, as the arbitrator to arbitrate on the dispute between the parties. The arbitrator would be entitled to charge fees in accordance with the Fourth Schedule to the 1996 Act or otherwise as determined by him in consultation with the parties. The learned arbitrator would furnish the requisite disclosure under Section 12(2) of the 1996 Act within one week of entering on the reference. The petition stands disposed of.

Issues: Appointment of Arbitrator

Ratio Decidendi: The court appointed an arbitrator based on the arbitration clause in the agreement, which provided for the disputes to be referred to the sole arbitration of the Secretary of Department of Legal Affairs, Govt. of India or his nominee.

Final Decision: The court appointed Mr. Kamal Nijhawan, Senior Advocate, as the arbitrator to arbitrate on the dispute between the parties.

JUDGMENT

C .Hari Shankar, J.

ARB.P. 289/2020

1. This is a petition under Section 11(6) of the Arbitration and Conciliation Act, 1996 ("1996 Act"), to appoint an arbitrator to arbitrate on the disputes between the parties.

    2. Mr. Sanjay Sudan, the Director of the respondent, who appears in person, submits that he has no objection to the disputes being referred to arbitration.

    3. The arbitration clause in the agreement executed between the parties reads as under:

      "15. ARBITRATION AND JURISDICTION

        (a) If any dispute or difference arises between the parties hereto as to the construction, interpretation, effect and implication of any provision of this Agreement Including the rights or liabilities or any claim or demand of any Party (or its extent) against other party or its sub-contractor or in regard to any matter under these presents but excluding any matters, decisions or determination of which is expressly provided for in this Agreement such disputes or differences shall be referred to the sole arbitration of the Secretary of Department of Legal Affairs, Govt. of India or his nominee. A reference to the arbitration under this clause shall be deemed to be submission within the meaning of the Arbitration and Conciliation Act 1996 and any modification or re-enactment thereof and the rules framed there under for the time being in force.

          (b) i) The venue of the Arbitration shall be at Delhi

            ii) Each Party shall bear and pay its own cost of the arbitration proceedings unless the arbitrator otherwise decides in the award.

              iii) The provision of this clause shall not be frustrated, abrogated or become in-operative, notwithstanding this Agreement expires or ceases to exist or is terminated or revoked or declared unlawful

                c) The Courts at Delhi shall have exclusive jurisdiction in all matters concerning this Agreement, including any matter related to or arising out of the arbitration proceedings or any award made therein."

                4. The substance of the dispute is set out in sub paras (i) to (xxv) of para 7 of the petition, which are not being reproduced to maintain brevity and avoid repetition, as there is no contest either regarding the existence of the arbitration agreement or the arbitrability of the dispute.

                5. In view thereof, this Court appoints Mr.Kamal Nijhawan, Senior Advocate, as the arbitrator to arbitrate on the dispute between the parties. The contact details of the learned arbitrator are as under:

                  Mobile No.9810077957

                    Email ID. : knlawyer@gmail.com

                    6. The learned arbitrator would be entitled to charge fees in accordance with the Fourth Schedule to the 1996 Act or otherwise as determined by him in consultation with the parties.

                    7. The learned arbitrator would furnish the requisite disclosure under Section 12(2) of the 1996 Act within one week of entering on the reference.

                    8. In view of the aforesaid observations, this petition stands disposed of.

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