Walter Bau AG Vs. Muncipal Corporation Of Greater Mumbai & ANR.
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Head Note
The Arbitration and Conciliation Act, 1996 - Section 11 (6)
ICADR Rules, 1996, Rule 5 and 36 - Arbitrator - Appointment - Challenge as to - The agreed upon procedure between the parties contemplated the appointment of the arbitrator by second party within 30 days of receipt of a notice from the first party - The option given to the respondent Corporation to go beyond the panel submitted by the ICADR and to appoint any person of its choice was clearly not in the contemplation of the parties -The appointment of Arbitrator held to be non- est in law - Such an appointment will not inhibit the exercise of jurisdiction by the Court under Section 11(6) of the Arbitration Act - Plea that the present proceeding not maintainable in law repelled - The appointment of made beyond 30 days of the receipt of notice by the petitioner, held to be contrary to the agreed procedure which required the appointment made by the respondent Corporation to be from the panel submitted by the ICADR - Petition allowed and a retired judge of the Bombay High Court appointed as the Arbitrator on behalf of the respondent Corporation - Both the Arbitrators shall now name the third Arbitrator forthwith.
Topic(s)-Arbitration - Appointment of arbitrator