01Facts
Tata Capital Ltd. filed a petition under Sections 11(5) and 11(6) of the Arbitration and Conciliation Act, 1996, seeking appointment of an arbitrator.
p. 1 · ¶ 1The petitioner claimed approximately ₹11.18 lakh.
p. 3 · ¶ 7The Court found that notice had been duly served on the respondents, who neither appeared nor filed a reply.
p. 1 · ¶ 2–5 · p. 2 · ¶ 602Issues
i.Whether a prima facie valid and binding arbitration agreement existed so as to warrant appointment of a sole arbitrator under Section 11 of the Act.
p. 3 · ¶ 8–10ii.Whether the respondents’ non-appearance and failure to reply, despite service, prevented the Court from considering the appointment.
p. 1 · ¶ 3–503Law Applied
Sections 11(5) and 11(6) of the Arbitration and Conciliation Act, 1996 empower the Court to consider a request for appointment of an arbitrator.
p. 3 · ¶ 8At this stage, the Court’s enquiry is confined to examining the prima facie existence of an arbitration agreement.
p. 3 · ¶ 8Section 12(2) requires the appointed arbitrator to furnish the requisite disclosure.
p. 3 · ¶ 12No precedent was cited.
Provisions in the judgment · 2 · Linked ones open on LawLens
Arbitration and Conciliation Act, 1996 Section 11Section 12
04Reasoning
The Court accepted the service evidence and noted that the respondents had neither appeared nor filed a reply; their absence did not prevent the Court from proceeding with the appointment.
p. 1 · ¶ 3–5Applying the limited Section 11 enquiry, the Court found that a valid and binding arbitration agreement existed and saw no impediment to appointing a sole arbitrator.
p. 3 · ¶ 8–1005Holding
The petition was disposed of by appointing Ms. Riddhi Jad, Advocate, as sole arbitrator, with the reference to be administered under the rules and aegis of the Delhi International Arbitration Centre (DIAC).
p. 3 · ¶ 11–13 · p. 4 · ¶ 17The arbitrator was directed to enter upon the reference within two weeks and furnish the requisite disclosure under Section 12(2) within two weeks of doing so.
p. 3 · ¶ 11–12The parties remained at liberty to raise all pleas, including arbitrability and jurisdiction, before the arbitrator.
p. 4 · ¶ 14Original Court PDF
M/S Tata Capital LtdvsSanwar Lal And Anr
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