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2014 DIGILAW 1762 (ALL)

MANISH ENGINEERING ENTERPRISES v. IFFCO

2014-05-29

PANKAJ MITHAL

body2014
JUDGMENT Hon’ble Pankaj Mithal, J.—Heard Sri P.K. Ganguly, learned counsel for the petitioner. 2. The arbitrator appointed by the General Manager, IFCO to resolve the dispute between the parties vide letter dated 14.4.2014 has refused to conduct arbitral proceedings any further and has terminated the arbitral proceedings under Section 15 (1) (a) of the Arbitration and Conciliation Act, 1996 (hereinafter referred to as an Act). 3. Learned counsel for the petitioner wants appointment of a substitute arbitrator. 4. Section 5 (2) of the Act provides that where the mandate of the arbitrator is terminated, a substitute arbitrator shall be appointed according to Rules that are applicable for appointment of the arbitrator. 5. The arbitral agreement provides for appointment of an arbitrator by the General Manager of IFCO. The power to appoint an arbitrator includes power to appoint a substitute arbitrator. Accordingly, the authority appointing the arbitrator is supposed to appoint a substitute arbitrator to replace the earlier. Therefore, petitioner while seeking appointment of a substitute arbitrator has to first approach the appointing authority under the agreement and in the event the said authority fails to Act or appoint the substitute arbitrator then only to approach the Chief Justice or his designate under Section 15 (2) read with Section 11 of the Act. 6. The petitioner has not given any notice to the General Manager for appointing a substitute arbitrator. 7. In view of the above, petitioner cannot be permitted to approach this Court directly under Section 11(5) of the Act for appointment of a substitute arbitrator. 8. The petition is dismissed with liberty to the petitioner to approach the General Manager first and after exhausting the procedure prescribed under the agreement to come before this Court, if necessary, for appointment of a substitute arbitrator. —————