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IN THE HIGH COURT OF DELHI
C. Hari Shankar, J.
KCC Buildcon Pvt. Ltd. - Appellant
Versus
Government of NCT of Delhi - Respondent
Arb.P. 886 of 2021 & I.A. 11664 of 2021
Decided On : 13-09-2021
Important Points
Subject
Arbitration - Appointment of Arbitrators
Headnote
(B) Continuation of Proceedings - The substitute arbitrator has the discretion to decide the stage of proceedings to continue from. (Paras 5, 8)
Facts of the case:
The initial arbitrator, Hon'ble Mr. Justice Anil Kumar, passed away before the award could be announced, necessitating the appointment of a substitute to arbitrate the disputes between the parties.
Findings of Court:
The court appointed a new arbitrator and determined that the original fee structure would remain applicable.
Issues: Whether a substitute arbitrator can be appointed following the death of the original arbitrator, and the discretion of the new arbitrator regarding the stage of proceedings.
Ratio Decidendi: The court emphasized the need for continuity in arbitration proceedings and affirmed the authority to appoint a substitute arbitrator in case of the original arbitrator's demise.
Result: Petition disposed of.
ORDER (Oral)
(Video-Conferencing)
I.A. 11664/2021
1. Allowed, subject to all just exceptions.
2. The application is disposed of
ARB.P. 886/2021
3. Both sides submit that the arbitral proceedings before Hon'ble Mr. Justice Anil Kumar (retired), the arbitrator earlier appointed to arbitrate on the disputes between the parties, stood concluded and the award was reserved when Hon'ble Mr. Justice Anil Kumar (retired) unfortunately expired.
4. As such, it is necessary that a substitute arbitrator is appointed.
5. In view thereof, this Court appoints Hon'ble Mr Justice Sudershan Kumar Misra (Cell No.: 9810039724), a learned retired Judge of this Court, as the arbitrator to arbitrate on the disputes between the parties. It would be for the arbitrator to decide the stage, from which he would prefer to continue the proceedings.
6. The fees payable to Hon'ble Mr Justice Anil Kumar would continue to apply to Hon'ble Mr Justice Sudershan Kumar Misra.
7. The substitute Arbitrator is requested to furnish the requisite disclosure under Section 12(2) of the Arbitration and Conciliation Act, 1996 within a week of entering on reference.
8. In my view, it would be appropriate for the substitute Arbitrator to call for the record of the arbitration which was earlier being conducted by Hon'ble Mr Justice Anil Kumar.
9. This petition stands disposed of in the aforesaid terms.
