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anand das (service)     17 November 2011

Arbitration query --urgent

Agreement executed between two companies 'A' & 'B' mentioned only that arbitration shall be there and as per Indian Arbitration & Conciliation Act. But does not mention about no. of arbitrators or how they will be appointed.

Dispute has arisen & company 'A' offrerd that dispute be referred to sole arbitration to retited judge of high court and asked comapny 'B' to give names of three arbitrators amongst whom company 'A' would chose one to act as sole arbitrator. Company 'B' did not reply to this notice for more than 40 days. Now comapny 'A' has sent a notice stating that they have appointed a sole arbitrator who is retired judge of high court of Bombay.

1. What are the options open to 'B' ?

2. Whether sole arbitrator can be appointed by one sided?

pls guide



 1 Replies

Rajesh Hazra (Mediator Mediation Counsel)     17 November 2011

Dear Friend,

The power of the chief justice to appoint an arbitrator has been clearly stated in section 11.

Under the Section 11(6) Where, under an appointment procedure agreed upon by the parties a party fails to act as required under that procedure; or  the two appointed arbitrators, fail to reach an agreement expected of them under that procedure or a person including an institution, fails to perform any function entrusted to him or it under that procedure,  a party may request the  Hon'ble Chief Justice in this regard, unless the agreement on the appointment procedure provides other means for securing appointment.

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