Monday, May 29, 2023

Former CJI Justice N.V. Ramana Appointed As Sole Arbitrator In Dispute Between DMRC And Arvind Techno Globe


The Delhi High Court has appointed Former Chief Justice of India, Hon’ble Justice N.V. Ramana as a sole Arbitrator to adjudicate on the disputes between M/s Arvind Techno Globe and Delhi Metro Rail Corporation Ltd. 

The dispute between the parties arose over some claims tuning to Rs. 20,64,14,428 raised by the Petitioner and non-payment of the claim by the Respondent. 

Before resorting to Arbitration, the Parties tried to conciliate the matter. However, the conciliation proceedings could not be completed within the stipulated period and therefore, the Petitioner terminated the said proceedings. 

Thereafter, Arbitration was invoked by the Petitioner as per Clause 17.9 of the GCC, a part of the Contract Agreement. 

The petition seeking the appointment of an Arbitrator was filed as it was alleged that the Respondent violated the law laid down in the case of Voestalpine Schienen GmbH v. Delhi Metro Rail Corporation Ltd. As they only suggested 5 names of the Arbitrators from the panel. Further, the Respondents refused to appoint an independent arbitral tribunal as per Section 12(5) of the Arbitration and Conciliation Act, 1996. 

The Respondent, on the other hand, argued that none of the names suggested by the Respondent was affiliated with the Respondent organization. Further, the Arbitrators suggested on the panel are either National High-Speed Rail Corporation Limited or the Indian Railway Service of Engineers. It was argued that the Petitioner should choose a nominee from the panel provided as the named individuals possess the required eligibility to adjudicate on the dispute. 

After hearing the contentions, the High Court was of the view that the dispute was limited to the extent qua the appointment of an independent arbitrator for adjudicating on the disputes arising qua the Contract Agreement dated 22ndJuly 2013. 

Noting that the Respondent accepted that the dispute is arbitral in nature, the Bench opined, 

As agreed on behalf of the parties, this Court finds it appropriate to refer the disagreements arising between the parties with respect to the Contract Agreement dated 22nd July 2013 to an independent sole arbitrator for its redressal.” 

Justice N.V. Ramana, Former Chief Justice of India is appointed as a sole arbitrator to adjudicate the disputes between the parties which have arisen under the Contract Agreement dated 22ndJuly 2013.” 

Accordingly, the petition was disposed of. 

Case Title:Arvind Techno Globe V. Delhi Metro Rail Corporation Ltd. 

Coram:Hon’ble Mr. Justice Chandra Dhari Singh

Case No: ARB.P. 1309/2022

Advocates for Petitioner: Advs. Mr. Rahul Malhotra, Ms. Anchal Tiwari 

Advocate for Respondent: Adv. Mr. Deepanjay Dutta 

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Source: LatestLaws


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