The court upheld the right to appoint a Substitute Arbitrator due to the previous Arbitrator's mandate termination, ensuring the unresolved disputes could be adjudicated. This reflects the essential need for timely arbitration under the Arbitration and Conciliation Act, 1996.

JUDGMENT

[VIA HYBRID MODE]

Sanjeev Narula, J. (Oral)--The present petition has been filed under Section 14 and 15 of the Arbitration and Conciliation Act, 1996 [hereinafter, "the Act"] by the Petitioner - Times Internet Limited [hereinafter, "TIMES"] against the Respondent - Bharat Sanchar Nigam Limited [hereinafter, "BSNL"] seeking termination of mandate of the Arbitral Tribunal and appointment of a Substitute Arbitrator.

FACTS

2. Before adverting to the contentions of the parties, a brief narration of facts is necessary, which is summarised as follows:

2.1. On 28th January, 2013 the parties entered into an Agreement wherein TIMES was to provide `Voice-Based Value Added Services through Interactive Voice Response ("IVR") or Human Assisted Platform to the GSM/CDMA/PSTN Subscribers of BSNL' [hereinafter, "the Agreement"] to BSNL on non-exclusive cost of content/services, on revenue sharing basis.

2.2. When disputes arose between the parties, on 21st January, 2016, TIMES invoked the arbitration clause of the Agreement, which reads as follows:

11. Dispute Settlement

11.1 In the event of any question, dispute or difference arising under this agreement or in connection there-with (except as to the matters, the decision to which is specifically provided wider this agreement), the same shall be referred to the sole arbitration of the CMD, BSNL, New Delhi.

In case his/her designation is changed or his/her office is abolished, then to the sole arbitration of the officer for the time being entrusted (whether in addition to his own duties or otherwise) with the functions of the CMD, BSNL.

By whatever designation such an officer may be called (hereinafter referred to as the said officer)

If the CMD, BSNL or the said officer is unable or unwilling to act as such, then to the sole arbitration of some other person appointed by the CMD, BSNL or the said officer. The agreement to appoint an arbitrator will be in accordance with the Arbitration and Conciliation Act 1996.

There will be no objection to any such appointment on the ground that the arbitrator is a BSNL Servant or that he/she has to deal with the matter to which the agreement relates or that in the course of his/her duties as a BSNL servant he/she has expressed his/her views on all or any of the matters in dispute. The award of the arbitrator shall be final and binding on both the parties to the agreement. In the event of such an arbitrator to whom the matter is originally referred, being transferred or vacating his/her office or being unable to act for any reason whatsoever, the CMD, BSNL. or the said officer shall appoint another person to act as an arbitrator in accordance with terms of the agreement and the person so appointed shall be entitled to proceed from the stage at which it was left by his/her predecessors.

11.2 The arbitrator may from time to time with the consent of both the parties enlarge the time frame for making and publishing the award. Subject to the aforesaid, Arbitration and Conciliation Act, 1996 and the rules made there under, any modification thereof for the time being in force shall be deemed to apply to the arbitration proceeding under this clause.

11.3 The venue of the arbitration proceeding shall be the office of the CMD, BSNL, New Delhi or such other places within the area of operation as the arbitrator may decide."

[Emphasis Supplied]

2.3. Exercising their contractual right, BSNL appointed Shri. Roop Narayan Bhardwaj, Former CGMT, DOT/MOC & IT, as the Sole Arbitrator [hereinafter, "First Arbitrator"].

2.4. On 25th April, 2016, TIMES filed its statement of claim and an application under Se