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Sigin P. Paul vs M/s Shriram Transport Finance Co. Ltd

High Court Of Kerala · Decided on 11 August 2022 · Citation: (2022) 08 KL CK 0113

HON’BLE JUDGES
Sathish Ninan, J
ACTS & SECTIONS REFERRED
Arbitration and Conciliation Act, 1996 — Section 11(8), 12(1)
CASE NUMBER
Arbitration Requests No. 94 Of 2021
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Judgment

12 paragraphs · 331 words

Sathish Ninan, J.

1.

The petitioner purchased a vehicle availing credit facility from the respondents. The repayment of the facility was defaulted, whereupon the respondents initiated arbitration proceedings. The petitioner challenges the unilateral appointment of an Arbitrator as bad in law and seeks for appointment of an independent Arbitrator.

2.

Heard learned counsel on either sides.

3.

The existence of an arbitration clause in the agreement between the parties providing for resolution of disputes by an Arbitrator, is not disputed. That there cannot be an unilateral appointment of Arbitrator, and the need for appointment of an independent Arbitrator has been laid down by the Apex Court in TRF Limited v. Energo Engineering Projects Limited [2017 (8) SCC 377], Perkins Eastman Architects DPC and Another v. HSCC (India) Ltd. [AIR 2020 SC 59] & Tulsi Developers India Pvt. Ltd. v. Dr. Appu Benny Thomas [2021 (5) KHC 404].

4.

Though as per Annexure-V, the petitioner made request for appointment of an Arbitrator it was not acceptable to the respondents.

5.

In the light of the above, leaving open the rival contentions of the parties, the Arbitration Request is ordered as hereunder :-

(a) Adv. Sri.Suresh B.S., Ambalathingal House, Pachalam P.O., Kochi-12, is nominated provisionally as the Sole Arbitrator to adjudicate upon the disputes between the parties.

(b) A copy of this order shall be communicated to the learned Sole Arbitrator by the Advocate of the applicant within a period of one week from today. A copy of the order shall also be forwarded to the learned Sole Arbitrator by the Registry.

(c) The Arbitrator is requested to forward the statement of disclosure under Section 11(8) r/w Section 12(1) of the Arbitration and Conciliation Act, 1996.

(d) The registry shall place the disclosure statement before this Court, for confirmation of the appointment of the Arbitrator.

(e) The Arbitrator's fees shall be payable as per IVth Schedule to the Arbitration and Conciliation Act, 1996.

(f) The arbitration costs and fees shall be shared equally.