Punjab-Haryana High Court
M/S S.P.Singla Constructions (P) Ltd vs State Of Punjab And Another on 16 March, 2011
Author: Hemant Gupta
Bench: Hemant Gupta
IN THE HIGH COURT OF PUNJAB AND HARYANA AT
CHANDIGARH
Date of Decision : 16.03.2011
Arb. Case No.39 of 2011 (O&M)
M/s S.P.Singla Constructions (P) Ltd. ...Petitioner
Versus
State of Punjab and another ...Respondents
CORAM: HON'BLE MR. JUSTICE HEMANT GUPTA
Present : Mr. Akshay Bhan, Advocate,
for the petitioner(s).
HEMANT GUPTA, J. (ORAL)
The petitioner challenges the orders dated 09.08.2010 and 03.11.2010, 08.11.2010 and 03.12.2010 passed by the Arbitral Tribunal constituted in terms of arbitration clause in the Agreement executed between the parties.
The grievance of the petitioner is that the Arbitral Tribunal has fixed costs of the proceedings and such fixation of costs is against the mandate of Section 31(viii) of the Arbitration & Conciliation Act, 1996 (for short 'the Act') and, therefore, an independent Arbitrator be appointed to resolve the disputes between the parties.
The present petition is under Section 11 read with Sections 14 and 34 of the Act. This Court appoints an Arbitrator in the event the parties don't arrive at a consensus for an Arbitrator or one of the parties fails to appoint an Arbitrator in terms of the Agreement under Section 11 of the Act. Once the Arbitral Tribunal has been constituted, this Court in exercise Arb. Case No.39 of 2011 (O&M) 2 of powers under Sections 11(6) of the Act cannot terminate the mandate of Arbitrator or Arbitral Tribunal.
Section 14 of the Act provides for termination of the mandate of an Arbitrator or Arbitral Tribunal. An arbitral Award can be challenged under Section 34 of the Act. Such jurisdiction can be exercised by a 'Court'. The Court is defined under Section 2 (e) of the Act, to mean Principal Civil Court of original jurisdiction. In the present case, the Principal Civil Court of original jurisdiction will be the Court of District Judge.
Therefore, the present petition challenging the orders of the Arbitral Tribunal is not maintainable. Accordingly, the same is dismissed. Any observation herein is for the purpose of deciding the present petition. As and when, the petitioner invokes the jurisdiction of any Court, the said Court shall decide the question raised in accordance with law.
16.03.2011 (HEMANT GUPTA) Vimal JUDGE