UNION OF INDIA versus M/S. SINGH BUILDERS SYNDICATE

UNION OF INDIA versus M/S. SINGH BUILDERS SYNDICATE

Given the exceptional delays and the inability to constitute or maintain a functional Arbitral Tribunal as per the contract, the appointment of a retired Judge as sole arbitrator by the High Court was justified and does not warrant interference under Article 136 of the Constitution.

Parties
Appellant: Union of India; Respondent: M/s. Singh Builders Syndicate
Jurisdiction
India
Judgment Date
26 February 2009
Procedural Posture
Civil Appeal / Appeal Against High Court Order Appointing Retired Judge as Sole Arbitrator
Outcome
Appeal dismissed
Legal Topics
Appointment of Arbitrators, Interpretation of Arbitration Agreements, Delay in Arbitration Proceedings, Arbitral Fees
Arbitration Civil Procedure Appointment of Arbitrators Interpretation of Arbitration Agreements Delay in Arbitration Proceedings Arbitral Fees

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Parties

Union of India

Appellant

M/s. Singh Builders Syndicate

Respondent

Procedural Posture

Civil Appeal / Appeal Against High Court Order Appointing Retired Judge as Sole Arbitrator

Legal Issues

  1. 1 Whether a retired Judge of the High Court can be appointed as sole arbitrator contrary to contract clause requiring serving officers as arbitrators.
  2. 2 Whether the appointment of the retired Judge as sole arbitrator should be set aside and the Arbitral Tribunal reconstituted as per the contract.

Ratio Decidendi

Given the exceptional delays and the inability to constitute or maintain a functional Arbitral Tribunal as per the contract, the appointment of a retired Judge as sole arbitrator by the High Court was justified and does not warrant interference under Article 136 of the Constitution.

Court Disposition

Appeal dismissed

Orders

  • Appointment of retired Judge as sole arbitrator upheld.
  • High Court's order fixing arbitrator fee (Rs.10,000 per hearing, maximum Rs.150,000 plus clerkage, to be shared equally) maintained.