What is the procedure for appointing a sole arbitrator in India?

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Answer By law4u team

In India, the procedure for appointing a sole arbitrator is governed by the Arbitration and Conciliation Act, 1996 (amended in 2015 and 2019). Here is a detailed step-by-step guide on how to appoint a sole arbitrator: 1. Agreement Between Parties Arbitration Clause: The first step is to check if there is an arbitration agreement or clause in the contract between the parties. This agreement usually outlines the method of appointing arbitrators. Mutual Agreement: If the parties can agree on a sole arbitrator, they can appoint one by mutual consent. 2. Default Procedure (If Parties Cannot Agree) If the parties cannot mutually agree on the appointment of a sole arbitrator, the following default procedure is followed: 2.1 Request to the Court Application: A party can file an application to the High Court or the Supreme Court (depending on whether it is an international or domestic arbitration) under Section 11 of the Arbitration and Conciliation Act, 1996. Details: The application must include details of the arbitration agreement, the nature of the dispute, and the inability to mutually appoint an arbitrator. 2.2 Court's Role Designation of Authority: The Chief Justice or his designate (such as a High Court judge) will handle the application. Appointment: The court can appoint a sole arbitrator after considering the nature of the dispute, the qualifications required for the arbitrator, and any other relevant factors. 3. Procedure When Arbitration Clause Specifies a Procedure Following Agreed Procedure: If the arbitration clause specifies a procedure for appointing a sole arbitrator, that procedure must be followed. Institutional Arbitration: If the parties have agreed to institutional arbitration (e.g., under the rules of the Indian Council of Arbitration), the institution will appoint the arbitrator as per its rules. 4. Criteria for Appointment Independence and Impartiality: The appointed arbitrator must be independent and impartial. The parties can challenge the appointment if they believe the arbitrator does not meet these criteria. Qualifications: The arbitrator should have the necessary qualifications as agreed upon by the parties or as required by the nature of the dispute. 5. Notification and Acceptance Notification: Once appointed, the arbitrator is notified of their appointment. Declaration: The arbitrator must provide a written declaration of their independence and impartiality as per Section 12 of the Act. Acceptance: The arbitrator accepts the appointment and confirms their willingness to arbitrate the dispute. 6. Commencement of Arbitration Arbitral Proceedings: Upon the appointment of the sole arbitrator, the arbitral proceedings commence. The arbitrator will set a timetable for submissions, hearings, and the overall process. Arbitration Agreement Enforcement: The arbitrator ensures that the arbitration agreement is enforced and the arbitration process is conducted in accordance with the principles of natural justice. Summary Check Arbitration Agreement: Look for an existing arbitration clause or agreement. Mutual Agreement: Try to agree on a sole arbitrator. Court Intervention: If no agreement, file an application under Section 11 of the Arbitration and Conciliation Act, 1996. Appointment: The court appoints an arbitrator considering the nature of the dispute and required qualifications. Notification and Declaration: The appointed arbitrator must declare their independence and accept the role. Proceedings Begin: The arbitration process formally begins. By following these steps, parties can ensure the appointment of a sole arbitrator in India is conducted in a fair, transparent, and legally compliant manner.

Answer By Anik

Dear client, The procedure for appointing a sole arbitrator in India is governed by the arbitration and conciliation Act, 1996. The appointment primarily depends on the arbitration agreement between the parties and is guided by the principles of the party autonomy and judicial intervention only when necessary. The following are the agreements such as Agreement between the parties: Section 11(2) of the act delas that the parties are free to agree on the procedure for appointing the arbitrator. If the agreement specifies a method, then the parties agreed to is supposed to follow the method specified. Failure to agree on an arbitrator: If the other parties fail to agree on the appointment of a sole arbitrator within thirty days of a request by one party, then the appointment can be made by the court under the section 11(6) of the arbitration and conciliation Act,1996. Court’s role in appointment: If the arbitration agreement does not specify an appointment procedure or if the agreed procedure fails, the supreme court which deals with the international commercial arbitration other high court which deals with for domestic arbitration can appoint an arbitrator upon application by a party. The appointment must be made within 30 Days of the request being made to the court. Appointment by institutional arbitration centers: If the arbitrator is governed by an institutional arbitration mechanism, then the institution’s rules will dictate the ways in which the arbitrator procedure for appointment. Arbitrator’s qualification and independence: The arbitrator must be impartial and Independent. The fifth and seventh schedules to the arbitrator and conciliation Act, 1996 which provides a list of conditions that may disqualify an arbitrator due to conflict of interest. I hope this answer helps, in case of future queries please feel free to contact us. Thank you

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