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WHAT IS THE PROCEDURE OF APPOINTMENT OF ARBITRATORS ?


WHAT IS THE PROCEDURE OF THE APPOINTMENT OF AN ARBITRATOR?


The appointment of arbitrators in India is governed by the Arbitration and Conciliation Act, 1996. The procedure for appointing arbitrators typically follows these steps:

  • 1-Agreement between Parties: The first step is to check the arbitration agreement between the parties involved in the dispute. Usually, the arbitration agreement will specify the number of arbitrators to be appointed and the method of their appointment. If the agreement provides specific names of arbitrators, the process may proceed accordingly.

  • 2-Appointment by the Parties: If the arbitration agreement allows the parties to appoint arbitrators directly, each party will select their respective arbitrator. The appointed arbitrators may then proceed to appoint the presiding arbitrator (if the agreement calls for a three-member tribunal) or act as sole arbitrators (if the agreement calls for a single arbitrator).

  • 3-Appointment by Designated Authority: In cases where the arbitration agreement does not provide a specific method for appointing arbitrators or if the parties fail to reach an agreement, either party may send a written request to a designated authority or institution. The designated authority depends on the type of arbitration:
    a. For Domestic Arbitration: If the arbitration is domestic (i.e., both parties are Indian or the place of arbitration is in India), the application for appointment is made to the Chief Justice of the relevant High Court or any person or institution designated by the Chief Justice.
    b. For International Commercial Arbitration: If the arbitration is international (i.e., at least one party is foreign or the place of arbitration is outside India), the application for appointment is made to the Chief Justice of the relevant High Court or any person or institution designated by the Chief Justice.

  • 4-Qualifications and Impartiality: The designated authority will consider the qualifications and impartiality of the arbitrators before making the appointments. They may also consider any qualifications or characteristics required by the arbitration agreement or applicable laws.

  • 5-Challenge to Appointment: After the appointment, if a party believes that the appointed arbitrator does not meet the qualifications or is not impartial, they may challenge the appointment within the time limit specified under the Act or the institutional rules governing the arbitration.

  • 6-Institutional Arbitration: In some cases, parties may choose to refer their disputes to arbitration institutions (e.g., Indian Council of Arbitration, International Chamber of Commerce) that have their own rules for appointing arbitrators. In such cases, the institutional rules will govern the appointment process.

It is crucial to carefully follow the procedures laid down in the arbitration agreement or the relevant laws to ensure the proper appointment of arbitrators and the smooth progression of the arbitration process in India.

DR.ANUPAM KUMAR MISHRA 

PH.NO-9051112233

MAIL ID-lexisandcompany@gmail.com

LEXIS AND COMPANY LAW FIRM  
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