Case Note & Summary
The petitioner, M/s V.K.A. Constructions Engineers & Contractors, filed a petition under Section 11(6) of the Arbitration and Conciliation Act, 1996, seeking appointment of an arbitrator to adjudicate disputes arising out of a Contract Agreement dated 31.03.2012 with the respondents, Hindustan Aeronautics Limited (HAL) and its officers. The contract was for resurfacing of the runway at HAL Airport, Bengaluru Complex. A Work Order was issued on 29.04.2013 with a completion date of 14.01.2014. Disputes arose between the parties regarding the contract. The petitioner invoked the arbitration clause and requested appointment of an arbitrator. The respondents did not object to the appointment but suggested that the arbitrator be appointed from the panel of the Arbitration Centre - Karnataka (Domestic & International), Bengaluru. The court, after hearing both sides, found that there was an arbitration clause in the agreement and that both parties consented to the appointment of an arbitrator from the said panel. Accordingly, the court appointed Sri Justice A.N. Venugopala Gowda, a former Judge of the High Court of Karnataka, as the sole arbitrator to resolve the disputes. The arbitrator was directed to enter upon the reference and decide the disputes in accordance with law. The petition was disposed of accordingly.
Headnote
A) Arbitration Law - Appointment of Arbitrator - Section 11(6) of the Arbitration and Conciliation Act, 1996 - Existence of Arbitration Clause - The petitioner sought appointment of an arbitrator to resolve disputes arising from a contract for resurfacing of runway at HAL Airport. The respondents did not object to the appointment but requested that the arbitrator be appointed from the panel of the Arbitration Centre - Karnataka. The court, noting the existence of an arbitration clause and the consent of both parties, appointed an arbitrator from the said panel. (Paras 1-4)
Issue of Consideration
Whether an arbitrator should be appointed under Section 11(6) of the Arbitration and Conciliation Act, 1996 to adjudicate disputes arising out of a contract between the petitioner and respondents.
Final Decision
The court appointed Sri Justice A.N. Venugopala Gowda, former Judge of the High Court of Karnataka, as the sole arbitrator to adjudicate the disputes between the parties. The arbitrator was directed to enter upon the reference and decide the disputes in accordance with law. The petition was disposed of.
Law Points
- Appointment of arbitrator under Section 11(6) of the Arbitration and Conciliation Act
- 1996
- Existence of arbitration clause
- Dispute arising out of contract
- Consent of parties for appointment
Case Details
2018 LawText (KAR) (09) 17
Civil Miscellaneous Petition No.209 of 2018
Hon'ble Mr.Justice Dinesh Maheshwari, Chief Justice
Sri H.R.Narayana Rao for Sri Rajeswara P.N. (for petitioner), Sri G.Shiwadass (for respondents)
M/s. V.K.A. Constructions Engineers & Contractors (Special Class)
The Chairman & Managing Director, Hindustan Aeronautics Limited; The Chief Executive Officer & General Manager, Hindustan Aeronautics Limited; The Deputy General Manager (Works), Hindustan Aeronautics Limited; The Chief Manager (Works), Facilities Management Division, Hindustan Aeronautics Limited
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Nature of Litigation
Civil Miscellaneous Petition under Section 11(6) of the Arbitration and Conciliation Act, 1996 for appointment of an arbitrator.
Remedy Sought
Petitioner seeks appointment of an arbitrator to adjudicate disputes arising out of a contract with respondents.
Filing Reason
Disputes arose between petitioner and respondents regarding Contract Agreement dated 31.03.2012 for resurfacing of runway at HAL Airport.
Issues
Whether an arbitrator should be appointed under Section 11(6) of the Arbitration and Conciliation Act, 1996 to resolve disputes between the parties.
Submissions/Arguments
Petitioner submitted that it entered into a contract with respondents and disputes arose, warranting arbitration.
Respondents did not object to appointment of arbitrator but requested appointment from panel of Arbitration Centre - Karnataka.
Ratio Decidendi
Where an arbitration clause exists and both parties consent to the appointment of an arbitrator from a designated panel, the court may appoint an arbitrator under Section 11(6) of the Arbitration and Conciliation Act, 1996 to resolve the disputes.
Judgment Excerpts
By way of this application under Section 11(6) of the Arbitration and Conciliation Act, 1996 ('the Act of 1996'), the petitioner has made the request for appointment of an Arbitrator to adjudicate upon and decide all its disputes with the respondents, arising out of, and relating to, the Contract Agreement dated 31.03.2012.
The respondents do not have any objection for appointment of an Arbitrator but they have requested that the Arbitrator be appointed from the panel of the Arbitration Centre - Karnataka (Domestic & International), Bengaluru.
Having regard to the facts and circumstances of the case and the submissions made, this Court finds it appropriate to appoint an Arbitrator from the panel of the Arbitration Centre - Karnataka (Domestic & International), Bengaluru.
Procedural History
The petitioner filed C.M.P. No.209/2018 under Section 11(6) of the Arbitration and Conciliation Act, 1996 seeking appointment of an arbitrator. The respondents appeared and did not object to the appointment but requested appointment from a specific panel. The court heard the matter and passed the order on 20.09.2018.
Acts & Sections
- Arbitration and Conciliation Act, 1996: Section 11(6)
