Hindustan Copper Ltd. vs Siva Metal Industries
2023 Latest Caselaw 9871 Ori

             IN THE HIGH COURT OF ORISSA AT CUTTACK

                           W.P.(C) No.26601 of 2023


        Hindustan Copper Ltd., Kolkata         ....             Petitioner

                                Mr. Gautam Mukherji, Senior Advocate
                                    -versus-

        Siva Metal Industries                  ....        Opposite Party




                  CORAM: JUSTICE ARINDAM SINHA
Order                              ORDER
No.                               23.08.2023
  1.

1. Mr. Mukherji, learned senior advocate appears on behalf of

petitioner and submits, impugned is judgment dated 28th February,

2023 allowing application made under section 14(2) and 42 in

Arbitration and Conciliation Act, 1996 read with section 18 of Micro,

Small and Medium Enterprises Development Act, 2006. He draws

attention to order made by the judgment and submits, there is illegality

and material irregularity therein for this Court to interfere in judicial

review.

2. By the judgment the Court below ordered the appointment of

sole arbitrator by letter dated 3rd January, 2014 at instance of

petitioner, as declared illegal and mandate terminated. The direction

was made, inter alia, under section 14(2). Sub-sections (1) and (2) in

// 2 //

section 14 are reproduced below.

"14. Failure or impossibility to act.-(1) [The mandate of an arbitrator shall terminate and he shall be substituted by another arbitrator, if]-

(a) he becomes de jure or de facto unable to perform his functions or for other reasons fails to act without undue delay; and

(b) he withdraws from his office or the parties agree to the termination of his mandate.

(2) If a controversy remains concerning any of the grounds referred to in clause (a) of sub-section (1), a party may, unless otherwise agreed by the parties, apply to the Court to decide on the termination of the mandate.

(3) xxx xxx xxx"

Clause (a) under sub-section (1) contemplates application of the

provision if the arbitrator becomes de jure or de facto unable to

perform his functions or for other reasons fails to act without undue

delay. Opposite party will be heard or whether a bad appointment

amounts to inability of the arbitrator to perform his functions.

3. Issue notice along with this order on opposite party by

registered/speed post with AD. Petitioner will put in requisites.

4. List on 21st September, 2023.

Signature Not Verified                                                        (Arindam Sinha)
Digitally Signed
Signed by: SISIR KUMAR SETHI                                                       Judge
Designation: PERSONAL
                 Sks ASSISTANT
Reason: Authentication
Location: ORISSA HIGH COURT
Date: 23-Aug-2023 18:10:34