IMPORTANT POINT
The termination of the mandate of the arbitrator(s) is subject to the decision of the Court, which may be made either before or after the expiry of the specified period, allowing for flexibility in granting extensions under Section 29A(4) of the Arbitration and Conciliation Act, 1996.

JUDGMENT

O.M.P.(MISC.)(COMM.) 466/2023

O.M.P.(MISC.)(COMM.) 467/2023

1. The present petitions under Section 29A(4) of the Arbitration and Conciliation Act, 1996 (the `A&C Act') have been filed seeking extension of time for completion of arbitral proceedings and making of the arbitral award.

2. O.M.P.(MISC.)(COMM.) 467/2023 has been filed in the backdrop of the arbitral proceedings before a learned Sole Arbitrator appointed by this Court vide order dated 19.05.2021 in Arb.P. No. 527/2021 (first reference).

3. In respect of the same Contract between the parties, another order dated 27.05.2022 came to be passed by this Court in Arb.P. No. 660/2022 for the purpose of adjudication of the additional disputes that arose between the parties (second reference). The arbitral proceedings conducted pursuant to the said order dated 27.05.2022 are the subject matter of O.M.P.(MISC.)(COMM.) 466/2023.

4. Admittedly, the aforesaid arbitral proceedings are at an advanced stage. It is undisputed that the learned sole Arbitrator has acted with expedition and despatch in the conduct of arbitration proceedings. Reference may also be apposite to the order dated 18.09.2023 passed by the learned Sole Arbitrator which reads as under:

"1) The matters have come up today for further cross examination of CW 1. Both counsel submitted that the time extended under Section 29A (3) of the Arbitration and Conciliation Act, 1996, has expired on 28.8.2023 in the first reference and will be expiring on 29.9.2023 in the second reference. They submitted that due to oversight, this was not brought to the notice of the Tribunal and both proceeded on the bona fide basis that the time was available till 29.9.2023.

2) Both sides agreed that the Claimant will file necessary application under Section 29A (4) of the A&C Act within ten days and the Respondent will give its consent for extension.

3) In view of the above, the parties requested that the hearing fixed today may be adjourned.

4) The learned counsel for the Claimant stated that he is not available between 5th to 12th October, 2023. The learned Senior Counsel is not available from 19th October to 22nd November, 2023.

5) Taking into consideration the convenience of parties, the next hearing is fixed on 17.10.2023 at 5.15 p.m. (through video conference) for further cross examination of CW1. The witness shall answer the questions 44, 45, 52, 54, 59 and 61 on that day."

5. The time period for completion of arbitral proceedings in the first reference expired on 28.08.2023 whereas the present petition [O.M.P.(MISC.)(COMM.) 467/2023] under Section 29A of the A&C Act came to be filed on 26.09.2023. The time period for completion of arbitral proceedings qua the second reference expired on 29.09.2023 whereas the present petition [O.M.P.(MISC.)(COMM.) 466/2023] under Section 29A of the A&C Act seeking extension of time for completion of arbitral proceedings came to be filed on 26.09.2023.

6. Although, the aforesaid order dated 18.09.2023 passed by the learned sole Arbitrator records the consent of the parties with regard to filing of requisite applications under Section 29A(4) of the A&C Act qua both the references, for the purpose of taking appropriate extension for completion of arbitral proceedings and making of the arbitral award, learned counsel for the respondent, nonetheless, objects to O.M.P.(MISC.)(COMM.) 467/2023 on the ground that the said petition came to be filed after the time period for completion of arbitral proceedings had already expired.

7. Learned counsel for the respondent contends that the mandate of the learned sole Arbitrator (in the first reference) having already expired on 28.08.2023, this court has no jurisdiction to entertain the petition under Section 29A(4) of the A&C Act which was filed after such expiration. In support of this contention, learned counsel for the respondent relies upon a judgment of the Calcutta High Court in Rohan Builders (India) (P) Ltd. v. Berger Paints India Ltd., 2023 SCC OnLine Cal 264