Monday, March 9, 2026

Arbitration and Eligibility of Arbitrator

*Arbitration and Conciliation Act, 1996 - Appointment of Arbitrator - Section 12 (5) - Eligibility of Arbitrator* - "Section 12(5) of A&C Act, 1996 read with Schedule VII of the Act an employee of the party in dispute is ineligible to be appointed as an arbitrator and cannot nominate or appoint any other person as an arbitrator. The unilateral appointment in absence of express agreement in writing between the parties to waive applicability of Section 12(5) of the A&C Act, 1996 is void ab initio." - "There being no prescribed format for express agreement in writing shall not mean that the waiver can be inferred by implication or through conduct." - "The phrase used in proviso to Section 12(5) of the A&C Act, 1996 has a clear mandate of an express agreement in writing." Arbitral award was set aside because arbitrator's appointment was void ab initio. - *Railways Board v. Titagarh Rail Systems Ltd [2026] GCtR 194 (Delhi)*

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