Facts
The Petitioner, Maya Devi, filed a petition under Section 11 of the Arbitration and Conciliation Act, 1996, seeking the appointment of a Sole Arbitrator
Source reference: p. 1The dispute between the parties arose from a License Agreement dated 06.04.2010 and a Supplementary Agreement dated 28.10.2010
Source reference: p. 1Clause 21 of the License Agreement contains an arbitration clause specifying Delhi as the seat of arbitration
Source reference: p. 1-2The Petitioner invoked arbitration via a notice under Section 21 of the Act dated 15.10.2024
Source reference: p. 2During the proceedings, the Respondent stated they had no objection to the appointment of an arbitrator
Source reference: p. 2Issues
1. Whether a Sole Arbitrator should be appointed under Section 11 of the Act to adjudicate the disputes arising from the License Agreement
Source reference: p. 62. What is the permissible scope and standard of judicial scrutiny by a Referral Court at the stage of Section 11(6) of the Act
Source reference: p. 2-5Law Applied
The Court applied Section 11 of the Arbitration and Conciliation Act, 1996, which empowers the High Court to appoint an arbitrator when the parties' agreed procedure fails
Source reference: p. 1judicial scrutiny under Section 11 is confined strictly to the examination of the existence of the arbitration agreement
Source reference: para. 112.3, p. 3principle of "minimal judicial intervention" and the "competence-competence" doctrine
Source reference: para. 117-119, p. 4Reasoning
The Court reasoned that the role of a Referral Court under Section 11 is facilitative and procedural rather than adjudicatory
Source reference: p. 6Section 11(6-A) limits the court's inquiry to a prima facie scrutiny of the existence of an agreement, leaving contested issues of fact, law, or "accord and satisfaction" to the Arbitral Tribunal under Section 16
Source reference: para. 114, 119, p. 3-4The Court observed that delving into the merits or "frivolity" of claims at this stage would undermine arbitral autonomy and the legislative intent of expeditious disposal
Source reference: para. 121, 127, p. 4-5Since the existence of the arbitration clause was undisputed and the Respondent consented to the appointment, the Court found the statutory requirements for referral satisfied
Source reference: p. 6It further clarified that the appointment does not constitute an opinion on the merits of the underlying controversy
Source reference: p. 6Holding
The Court allowed the petition and appointed Mr. Nawab Singh Jaglan, Advocate, as the Sole Arbitrator to adjudicate the disputes inter se the parties
It directed the Arbitrator to provide the requisite disclosures under Section 12(2) and ordered the parties to share the arbitral costs and fees equally
Source reference: p. 6The Court held that all rights and contentions regarding claims and counter-claims remain open for adjudication by the Arbitral Tribunal
Source reference: p. 6-7The petition was disposed of accordingly
Source reference: p. 7Original Court PDF
Maya DevivsGtl Infrastructure Limited
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