can a company reserve its right in the contract with its supplier to appoint sole arbitrator in case its supllier default?
Yes, section 11. Appointment of arbitrators. –
(1) A person of any nationality may be an arbitrator, unless otherwise agreed by the parties.
(2) Subject to sub-section (6), the parties are free to agree on a procedure for
appointing the arbitrator or arbitrators.
Supreme court in Appeal (civil) 2386 of 2007 has expressed his view as under:
In the matter of settlement of dispute by arbitration, the agreement executed by the parties has to be given great importance and an agreed procedure for appointing the arbitrators has been placed on high pedestal and has to be given preference to any other mode for securing appointment of an arbitrator.
if yes, who will pay the fees?
If fee of the arbitrator has not been decided at the time of agreement, it can be decided before reference of disputes or arbitrator himself will decide it reasonably.
can this arbitrator be challenged u/s 12[a]?
section 12. Grounds for challenge. -
(3) An arbitrator may be challenged only if-
(a) Circumstances exist that give rise to justifiable doubts as to his
independence or impartiality, or
(b) He does not possess the qualifications agreed to by the parties.
does he have jurisdiction u/s 16?
section: 16. Competence of arbitral tribunal to rule on its jurisdictional. -
(1) The arbitral tribunal may rule on its own jurisdiction, including ruling on
any objections with respect to the existence or validity of the arbitration