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IN THE HIGH COURT OF DELHI
Suresh Kumar Kait, J.
United Telecoms Ltd. - Appellant
Versus
Bharat Broadband Network Ltd. - Respondent
O.M.P. (T) (COMM.) 23 of 2022 & IA No. 2446 of 2022
Decided On : 14-02-2022




The court verified the need for appointing a new Sole Arbitrator due to the incumbent's inability to continue, ensuring a fair arbitration process as per Section 15(2) of the Arbitration and Conciliation Act, 1996.

Headnote:(A) Arbitration and Conciliation Act, 1996 - Section 15(2) - Petition for appointment of Sole Arbitrator - Petition filed due to the incumbent Arbitrator's inability to continue hearing arguments owing to illness and pandemic restrictions - Joint proposal by parties for a substitute Arbitrator. (Paras 1, 6)

(B) Appointment of Arbitrator - Joint request by legal representatives for selection of a retired Chief Justice as Sole Arbitrator - Tribunal granted one year for awarding decision. (Paras 7, 8)

(C) Compliance and adherence to procedural requirements under the Act ensuring impartial arbitration process. (Paras 9)

Findings of Court:
The petition is allowed and a Sole Arbitrator is appointed to adjudicate the disputes, with a one-year timeframe granted to complete proceedings.

Issues: The main issue addressed was the need to appoint a different Arbitrator due to the current one’s inability to continue.

Ratio Decidendi: The court reasoned that the appointment of a joint proposed Arbitrator aligns with the interests of expedience and fairness in the arbitration process.

Result: Petition and pending application are disposed of accordingly.

Table of Content
1. introduction of arbitration and background (Para 1 , 2)
2. petition for appointment of sole arbitrator (Para 3 , 6)
3. acceptance of notice by respondent's counsel (Para 4 , 5)
4. appointment of arbitrator and guidelines (Para 7 , 8 , 9)
5. disposition of petition and application (Para 10 , 11)

JUDGMENT (Oral)

1. The present petition has been filed by the petitioner under Section 15(2) of the Arbitration and Conciliation Act, 1996 seeking appointment of a Sole Arbitrator in substitution.

2. For adjudication of the disputes with respondent, this Court by order dated 25.04.2019 [in OMP. (I) (COMM) No. 125/2019] had appointed Mr. Justice (Retd.) Jagannadha Rao, the sole Arbitrator. According to petitioner, the learned Arbitrator had to adjudicate two cases APO-I and APO-II. The arbitral proceedings in respect of APO-II stood concluded and the arbitration award was rendered on 06.06.2021 and 07.07.2021 in respect thereof. However, arguments in APO-I though commenced but could not be completed owing to illness of the Counsel and restraints of covid pandemic.

3. Learned counsel for petitioner has submitted that an email dated 21.09.2021 has been received from the learned sole arbitrator wherein he has expressed his inability to hear the arguments in APO-I and, therefore, the present petition has been filed seeking appointment of a substituted Arbitrator.

4. Notice issued.

5. Mr. Chandan N. Kamra, Advocate, accepts notice on behalf of respondent.

6. Learned counsel for the parties submit that the case is at the advance stage of hearing arguments and this Court may appoint sole Arbitrator and also grant one year time to the arbitral tribunal for preparing and pronouncing the Award. Learned counsel for the parties have jointly proposed the name of Mr. Justice (Retd.) Mukul Mudgal for appointment as the sole Arbitrator.

7. In view of the above, the present petition is allowed. At the joint request of counsel representing both the sides, Mr. Justice (Retd.) Mukul Mudgal, former Chief Justice of Punjab and Haryana High Court, is appointed sole Arbitrator to adjudicate the disputes between the parties. The tribunal is granted one year time from today to hear the arguments and render the Award.

8. The learned Arbitrator shall decide the fee after consultation with the parties.

9. The learned Arbitrator shall ensure compliance of Section 12 of Arbitration and Conciliation Act, 1996 before commencing the arbitration. Needless to say, all issues are left open for adjudication and consideration by the learned Arbitrator.

10. A copy of this order be sent to the learned Arbitrator for information.

11. The petition and pending application are accordingly disposed of.

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