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SCHOOL OF LAW

Alternative Dispute Resolution

Project - Arbitral tribunal

Mr. Shekhar Kumar Mohd. Anas Masood


Faculty of LAW Roll No. IUU15BBL043
Alternative Dispute Resolution BBA LL.B.(hons.)
IMS Unison University Semester –IX
Introduction
An arbitral tribunal (or arbitration tribunal) is a panel of one or more
adjudicators which is convened and sits to resolve a dispute by way
of arbitration. The tribunal may consist of a sole arbitrator, or there may
be two or more arbitrators, which might include either a chairman or an
umpire.

Members selected to serve on the tribunal are typically professionals with


expertise in law and mediation, although some scholars have suggested
that the ideal composition of an arbitral tribunal should include at least one
economist, particularly in cases that involve questions of asset or damages
valuation.

The parties to a dispute are usually free to determine the number and
composition of the arbitral tribunal. In some legal systems, an arbitration
clause which provides for two arbitrators (or any other even number) is
understood to imply that the appointed arbitrators will select an additional
arbitrator as a chairman of the tribunal, to avoid deadlock arising. Different
legal systems differ as to how many arbitrators should constitute the
tribunal if there is no agreement.

Appointment of arbitrators
Number of Arbitrators
The Arbitration and conciliation Act of 1996 states that parties can determine the
number of arbitrators they wish to appoint however, this should not be an even
number.If they are unable to do so, the arbitral tribunal shall consist of a sole
arbitrator. The statutory requirement of odd numbers of arbitrators is can be moved
away from, which means that if they wish to exercise an option of choosing even
number of arbitrators and agree to not to challenge the award thereafter, the award
rendered would be a valid and binding. If neither of the parties challenge the
composition then any challenge to the composition must be raised by a party
before the time period prescribed under the Act, failing which it will not be open to
that party to challenge the award after it has been passed by the arbitral tribunal.
The Act enables the arbitral tribunal to rule on its own jurisdiction. A challenge to
the jurisdiction of the arbitral tribunal cannot be raised, after the submission of the
statement of defense although the party might have participated in the appointment
of the arbitrator and might have appointed the arbitrator himself. Both parties can
choose the arbitrators.

Qualification of Arbitrators
The parties should ideally follow an agreed procedure for appointing the
arbitrators. However if that fails and an application is filed in court for
appointment, the Chief Justice or the person or institution designated by him, in
appointing an arbitrator, shall have due regard to any qualifications required of the
arbitrator by the agreement of the parties.

A clause in the agreement which provides for settling the dispute by arbitration
through arbitrators having certain qualifications or in certain agreed manner is
ordinarily followed by the courts and not derogated from unless there are strong
grounds for doing so. The appointment of an arbitrator can be challenged within 15
days after he learns of the constitution of the arbitral tribunal or after becoming
aware of the circumstance that he does not possess the necessary qualification.
It is not open to a party, especially in government contracts, to contend that
appointment of only one arbitrator only by one of the parties to the dispute will
violate the principle that no man can be a judge in his own cause if that party had
voluntarily entered into the contract with knowledge of this fact and had thus
accepted the terms and conditions of the contract. The question of its
maintainability before the arbitral tribunal stating that the arbitration clause in the
contract between the parties is void and unenforceable law cannot be accepted.
Kinds Of Arbitrations
There are two kinds of arbitrations

(1) Statutory Arbitration; and


(2) Arbitration by Agreement

Appointment of Arbitrators

Section 11 of The Arbitration and Conciliation Act, 1996 provides for the
appointment of Arbitrator(s). An arbitrator is appointed under the following
means-

(1) Appointment by Parties


(2) Appointment by Court

The parties may agree to appoint a sole (one) arbitrator or more than one arbitrator.
An arbitrator named by the parties and so appointed can proceed with the
arbitration proceedings. If the parties do not name their own arbitrator, they may
mutually agree that arbitrator(s) may be appolinted by a third designated
person.

S11 (4) to S 11 (12) of the said act, confer upon the Court, the power to
appoint arbitrator(s). Court in this context means "the Principal Civil Court"
of original jurisdiction in a district and includes the High Court. The general
rule is that power to appoint arbitrator is vested in the parties. An arbitration
clause is inserted to that effect in the arbitration agreement. In case, one
party fails to appoint an arbitrator on request or reference, the other party
may file an application to the civil court for appointment of arbitrator.

Object and purpose of Section § 11 "Section S 11 is an insurance against


failure of arbitration agreement cause by failure or refusal to appoint an
arbitrator in
terms of the agreement.".

Qualifications of an Arbitrator A person designated to be appointed as an


arbitrator must possess the below mentioned qualifications
(1) Confidence of Parties
(2) Impartiality
(3) Technical and legal Qualifications
(4) Disinterested Party To Litigation aka No Conflict of Interest
(5) Should be able to enter into a Contract vis-à-vis Adjudication of the
Arbitration Agreement

Powers of Arbitrator empowered to make award, which is binding on the


parties. The arbitrator has an authority to award to grand interest if there is
a debt payable with interest. The powers of the Arbitrator or Arbitral
Tribunal

An arbitrator is powers of the Arbitrator or Arbitral Tribunal may be explained


under the following heads -

(1) Power to make awards;


(2) Power to take assistance (Sec. S 6;
(3) Power to rule on its Jurisdiction (Sec.16

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