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IN THE HIGH COURT OF DELHI
C. Hari Shankar, J.
New Om Construction Co. - Appellant
Versus
Union of India - Respondent
O.M.P.(T) (COMM.) 29 of 2020
Decided On : 03-09-2020




Substituting an arbitrator in arbitration proceedings is permissible upon mutual consent of parties, allowing the new arbitrator to proceed without re-evaluating preceding evidence.

Headnote:(A) Arbitration and Conciliation Act, 1996 - Section 15(2) - Petition for appointment of a substitute arbitrator due to the superannuation of the previous arbitrator - Consent given for the appointment of Mr. S.S. Bansal as the new arbitrator - No objections raised to the appointment. (Para 4)

(B) Procedural aspects of arbitration - The new arbitrator may continue from the stage of final arguments without the need to re-record previously presented evidence. (Para 5)

Facts of the case:
Petition was filed for the appointment of a substitute arbitrator as the previous one had superannuated without passing an award. The respondent suggested Mr. S.S. Bansal for this role, and the parties consented to this appointment.

Findings of Court:
The court accepted the parties' agreement to appoint Mr. Bansal and clarified the continuity of proceedings.

Issues: The key issue was whether a substitute arbitrator could be appointed and the procedural implications involved.

Ratio Decidendi: The court determined that the appointment of a substitute arbitrator was valid and that the new arbitrator could proceed to finalize the proceedings without needing to revisit prior evidence.

Result: Petition disposed of, and substitute arbitrator appointed.

Table of Content
1. arbitrator appointment issue. (Para 1)
2. agreement on substitute arbitrator. (Para 2 , 3)
3. continuation of proceedings with new arbitrator. (Para 4 , 5 , 6)
4. petition disposed. (Para 7)

ORDER (Oral)

(Video-Conferencing)

O.M.P. (T) (COMM.) 29/2020

1. This petition has been preferred under Section 15(2) of the Arbitration & Conciliation Act, 1996, for appointment of a substitute arbitrator, as Mr. K.K. Gupta, the learned Sole Arbitrator who had been appointed to adjudicate on the disputes between the parties, had superannuated without passing of award in the matter.

2. Reply and rejoinder had been filed. In the rejoinder, the petitioner has submitted that he has no objection to the appointment of Mr. S.S. Bansal, Additional Director (General) of the respondent, as the substitute arbitrator in place of Mr. K.K. Gupta and as suggested vide the letter dated 28th August, 2020 of the respondent.

3. Mr. Ankit Gupta, learned Counsel for the petitioner submits that, in view thereof, nothing survives for adjudication in this petition which may be disposed of accordingly.

4. In these circumstances, Mr. S.S. Bansal, Additional Director (General) of the respondent department, is appointed, by consent, as substitute arbitrator, in place of Mr. K.K. Gupta, who was conducting the arbitral proceedings thus far.

5. Learned Counsel for the parties are ad idem that, while Mr Bansal would not be required to re-record the evidence already recorded, final arguments in the matter may be addressed before him de novo.

6. Accordingly, Mr. Bansal would take over the proceedings from the stage of hearing of final arguments, whereafter he would proceed to pass the award in the matter.

7. The petition stands disposed of in the aforesaid terms.

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