Gundlapallis (Advocate) 01 February 2010

Foul Arbitrator - What to do?

According to the terms of contract; the franchisor appoints a Arbitrator (who happens to be a lawyer).

The Arbitrator takes up the proceedings, conducts enquiry but do not pass an award even after one and half years time after the date of enquiry in spite of several reminders from the Franchisor. Later the Franchisor comes to know that the Arbitrator has got influenced by the Franchisee who is now has become his tout bringing him new cases.

Pl suggest your ideas to bring this foul Arbitrator to bend on his knees.

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2 Replies

(Guest)

Please refer s.14 or 15 of TAACA 1996. I do not remember the exact section at the moment. It says that the mandate of the Arbitrator terminates if he does not act or has become incapable of acting. You can move the court under the said section for a declaration that his mandate has terminated and proceed to appoint a new arbitrator. Secondly you may also caution the arbitrator that he comes within the meaning of a "public servant" and would be liable for penal consequence for abuse of his position i.e. illegal omission to act and thereby enabling either himself or someone else to gain advantage within the meaning of prevention of corruption act. These are my loud thinking.

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Daksh (Student) 01 February 2010

Dear Venkat,

Anil has correctly hit the bulls eye. Kindly see Section 14 Failure or impossibility to Act (1) The Mandate of an arbitrator shall terminate if - (a) he becomes dejure or defacto unable to perform his functions or for other reasons fails to act without undue delay.

It is advisable that you may approach this Arbitrator with a suitable application in this regard enumerating all the facts and cirtumstances and make him to take a stand.

I hope this clarifies your query.

Best regards

Daksh

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