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CS Professional · Arbitration, Mediation and Conciliation · Arbitration Procedure, Appointment of an Arbitrator and Other Aspects

Sagar Foods Ltd (Kochi) and Tilak Retail Ltd (Indore) have an agreement requiring that the arbitrator be a retired judge with commercial law experience. Sagar applies under Section 11 and the court-designated institution proposes an arbitrator. Before appointing, what must the Court or designate do?

Before appointing, the court or its designate must obtain a written disclosure from the prospective arbitrator under Section 12(1) and give due regard to the qualifications the parties agreed and to factors ensuring independence and impartiality. It cannot ignore the agreed qualifications or seek disclosure after appointment.

  1. ASeek a written disclosure from the prospective arbitrator under Section 12(1) and have due regard to the agreed qualifications and the disclosure contentsCorrect
  2. BIgnore the agreed qualifications because the court has full discretion
  3. CAppoint first and seek the disclosure only if a party objects
  4. DSeek the disclosure orally from the nominee and consult the parties on fees

Explanation

Section 11(8) requires the court or designate, before appointing, to seek a written disclosure under section 12(1) and have due regard to qualifications required by the parties' agreement and to considerations securing an independent and impartial arbitrator. Appointing before disclosure, or ignoring agreed qualifications, contradicts this.

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