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2022 Supreme(Jhk) 1198

IN THE HIGH COURT OF JHARKHAND AT RANCHI
SUJIT NARAYAN PRASAD, J.
Delhi Integrated Multi Modal Transit System Limited (DIMTS) - Appellant
Versus
Jharkhand Urban Infrastructure Development Company Limited (JUIDCO) – Respondent
Arbitration Application No. 12 of 2020, Arbitration Application No. 14 of 2020, Arbitration Application No. 15 of 2020, Arbitration Application No. 16 of 2020, Arbitration Application No. 17 of 2020, Arbitration Application No. 18 of 2020, Arbitration Application No. 19 of 2020, Arbitration Application No. 20 of 2020
Decided on : 28-04-2022

Advocates:
Advocate Appeared:
For the Appellant :Mr. Rajesh Kr. Mahata, M. Minakshi Jyoti, Advocate
For the Respondents:Mr. Krishna Murari, Advocate

The court has the authority to appoint a sole arbitrator and modify its previous order if the initially appointed arbitrator refuses to act.

Headnote:

Arbitration - Appointment of Sole Arbitrator - Modification of Order

Fact of the Case:

The court passed an order appointing a retired judge as the sole arbitrator under Section 11 (6) (C) of the Arbitration & Conciliation Act, 1996 and Clause 21.3 of the Agreement. However, the retired judge refused to act as the arbitrator, leading to the matter being brought before the court for a new appointment.

Finding of the Court:

The court modified the previous order and appointed another retired judge as the sole arbitrator to adjudicate the dispute between the parties. The appointed arbitrator was required to submit a declaration and determine fees and expenses for the arbitration proceedings.

Issues: Appointment of sole arbitrator, modification of previous order, determination of fees and expenses for arbitration proceedings.

Ratio Decidendi: The court has the authority to appoint a sole arbitrator under Section 11 (6) (C) of the Arbitration & Conciliation Act, 1996. The court can modify its previous order to appoint a new arbitrator if the initially appointed arbitrator refuses to act.

Final Decision: The court appointed another retired judge as the sole arbitrator and directed the arbitrator to submit a declaration, determine fees and expenses, and conclude the proceedings expeditiously.

JUDGMENT :

This Court has passed an order on 17.02.2022, whereby and whereunder, by invoking the jurisdiction conferred to this Court under Section 11 (6) (C) of the Arbitration & Conciliation Act, 1996 and in view of the condition stipulated under Clause 21.3 of the Agreement, Hon’ble Mr. Justice D.N. Prasad (Retd.), Former Judge of this Court has been appointed to act as the sole Arbitrator for adjudication of the dispute between the parties

2. A letter dated 29.03.2022 has been received which has been placed before this Court, whereby and whereunder, Hon’ble Mr. Justice D.N. Prasad (Retd.), Former Judge of this Court, has communicated to the Registrar General of this Court refusing his consent to act as Arbitrator and thereby, the matter has been placed before this Court for passing appropriate order for appointment of sole Arbitrator.

3. It has been informed to this Court on behalf of the learned counsel for the respondents that Hon’ble Mr. Justice N.N. Tiwari (Retd.), Former Judge of this Court, may be appointed as sole Arbitrator for resolution of the dispute in between the parties.

4. Considering the aforesaid suggestion, this Court is of the view that the order dated 17.02.2022 is required to be modified, so as to appoint Hon’ble Mr. Justice N.N. Tiwari (Retd.), Former Judge of this Court to act as sole Arbitrator for resolution of the dispute existing in between the parties.

5. This Court, therefore, appoints Hon’ble Mr. Justice Hon’ble Mr. Justice N.N. Tiwari (Retd.), Former Judge presently residing at F/673, Tiwari Lane, J.C. Road, Burdwan Compound, Ranchi, as Arbitrator to adjudicate the dispute between the parties.

6. The proposed Arbitrator is required to submit a declaration in terms of Section 12 of Arbitration and Conciliation Act, 1996.

7. Learned Arbitrator would be free to lay down fees and other expenses towards conduct of the arbitration proceedings, however, keeping into account the ceiling prescribed under Schedule IV of the Act of 1996 as amended. Learned Arbitrator would endeavour to conclude the proceedings expeditiously, also taking into regard the mandate of the Legislature under Section 29-A of the Act of 1996.

8. Let photocopy of the entire pleadings along with copy of the entire order sheet be sent to the learned Arbitrator by the Registry.

9. The present Arbitration Applications are disposed of accordingly.

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