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IN THE HIGH COURT OF UTTARAKHAND AT NAINITAL
Vipin Sanghi, CJ.
Union Of India Through Chief Engineer, Bareilly Zone - Appellant
Versus
M/s S And S Construction Co. - Respondent
Arbitration Application No. 25 of 2020
Decided On : 16-12-2022
Arbitration - Appointment of Arbitrator - The court appointed an arbitrator in accordance with the Arbitration Agreement contained in the Contract Agreement between the parties.
Fact of the Case:
The applicant sought the appointment of an arbitrator in accordance with the Arbitration Agreement contained in the Contract Agreement after the respondent did not respond to the notice invoking the Arbitration Agreement.
Finding of the Court:
The court found that the parties had entered into an Agreement containing an Arbitration Agreement, and the respondent did not dispute the fact that disputes arising from the Agreement were referable to arbitration of a sole Arbitrator.
Issues: Appointment of Arbitrator under Section 11(6) of the Arbitration and Conciliation Act
Ratio Decidendi: The court appointed an arbitrator based on the existence of the Arbitration Agreement in the Contract Agreement and the respondent's non-dispute of the referability of disputes to arbitration.
Final Decision: The court allowed the application and appointed Mrs. Meena Tiwari as the sole Arbitrator to adjudicate the disputes between the parties arising from the Agreement.
JUDGMENT
Vipin Sanghi, CJ. - The applicant has preferred the present application under Section 11(6) of the Arbitration and Conciliation Act to seek the appointment of an Arbitrator in terms of Para 7(b) on page 112 of the Contract Agreement dated 20.05.2011 read with Condition No. 70 of IAFW-2249 of General Condition of Contract.
2. The parties had entered in the aforesaid Contract Agreement, which contains the Arbitration Agreement in Clause 70. Copy of said Clause has been filed along with the application. Copy of Clause 7(b) referred to above has also been placed on record.
3. The applicant invoked the Arbitration Agreement on 03.06.2020. The applicant suggested names of prospective Arbitrators, one of whom could be appointed as an Arbitrator. The respondent has, however, not responded to the said notice. Consequently, this application has been preferred.
4. The respondent has filed its reply. In the reply the respondent does not dispute the factum of the parties entering into the aforesaid Agreement, which contains an Arbitration Agreement. The respondent has suggested the names of a few persons, one of whom could be appointed as the sole Arbitrator, while stating that a serving officer may not be appointed.
5. Consequently, the respondent does not dispute the fact that the parties entered into an Agreement in relation to which disputes have arisen, and which are referable to arbitration of a sole Arbitrator.
6. Accordingly, I allow this application, and appoint Mrs. Meena Tiwari, retired District Judge, R/o Co-operative Tribunal Building, Lane No. 1C, Shastri Nagar, Dehradun - 248 001, as a sole Arbitrator to adjudicate the disputes between the parties arising out of the aforesaid Agreement.
7. Arbitration Application stands disposed of, accordingly.
The court's decision was based on the existence of the Arbitration Agreement and the non-dispute by the respondent of the referability of disputes to arbitration.
The central legal point established in the judgment is the court's authority under Section 11(6) of the Arbitration and Conciliation Act, 1996, to appoint a sole arbitrator when the parties are unabl....
The court's decision was based on the interpretation of the Dispute Resolution clause in the Contract Agreement and the provisions of Section 11 of the Arbitration and Conciliation Act, 1996.
The court confirmed that consent of both parties for the appointment of an arbitrator fulfills the requirements under Section 11(6) of the Arbitration and Conciliation Act, enabling dispute resolutio....
Court has the discretion to appoint a new Arbitrator to continue unresolved arbitration proceedings, affirming continuity even after the previous Arbitrator's death.
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