Delhi High Court - Orders
Vikas Construction Company vs The Director General Border Roads E8 & ... on 25 May, 2023
Author: Prateek Jalan
Bench: Prateek Jalan
$~2
* IN THE HIGH COURT OF DELHI AT NEW DELHI
+ ARB.P. 402/2023
VIKAS CONSTRUCTION COMPANY ..... Petitioner
Through: Mr. Vikas Deep, Advocate.
versus
THE DIRECTOR GENERAL BORDER ROADS E8
& ANR. ..... Respondents
Through: Ms. Reema Khurana, SPC with
Mr. Vikash Kumar, Advocate.
CORAM:
HON'BLE MR. JUSTICE PRATEEK JALAN
ORDER
% 25.05.2023
1. By way of this petition under Section 11 of the Arbitration and Conciliation Act, 1996 ["the Act"], the petitioner seeks appointment of an arbitrator to adjudicate disputes arising between the parties under a tender for design and construction of a bridge in the State of Sikkim.
2. The tender document [annexure P/1 to the petition] incorporates General Conditions of Contract, which provide for resolution of disputes by arbitration of a serving officer of the respondent having a degree in engineering or equivalent.
3. The petitioner invoked the arbitration clause by a communication dated 04.10.2022. There was some correspondence between the parties, but they were unable to agree to the appointment of an arbitrator. In the course of correspondence, by letter dated 20.12.2022, the petitioner has ARB.P. 402/2023 Page 1 of 3 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 25/09/2023 at 06:23:17 also quantified its claims, which appear tentatively to be in the region of ₹70 lakhs.
4. As the parties were unable to agree to an arbitrator, the petitioner has filed the present petition under Section 11 of the Act.
5. Pursuant to notice issued on 13.04.2023, the respondents have filed a reply wherein it is accepted that appointment of a serving officer of the respondent as the arbitrator is impermissible in view of Section 12(5) of the Act. The respondents have, therefore, conceded to the appointment of an arbitrator by the Court under Section 11 of the Act.
6. Ms. Reema Khurana, learned counsel for the respondents, submits that an independent arbitrator may be appointed, but suggests that an arbitrator with a degree in engineering may be appointed in reference to the qualifications stipulated in the arbitration clause. Mr. Vikas Deep, learned counsel for the petitioner, is agreeable to this.
7. Having heard learned counsel for the parties, and with their consent, the petition is disposed of with the following directions:
A. The disputes between the parties will be adjudicated by arbitration under the aegis of Delhi International Arbitration Centre, Delhi High Court, Shershah Road, New Delhi ["DIAC"]. DIAC is requested to nominate an empanelled arbitrator, having a degree in engineering.
B. The arbitration will be governed by the Rules of DIAC, including as to the remuneration of the learned arbitrator. C. The learned arbitrator is requested to furnish a declaration under Section 12 of the Act, prior to entering upon the reference.
8. It is made clear that this Court has not entered into the rights and ARB.P. 402/2023 Page 2 of 3 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 25/09/2023 at 06:23:17 contentions of the parties, either on maintainability of the claims or on merits, which are left open for adjudication by the learned arbitrator.
PRATEEK JALAN, J MAY 25, 2023 "Bhupi"/ ARB.P. 402/2023 Page 3 of 3 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 25/09/2023 at 06:23:17