The Supreme Court has praised the Bombay High Court. The apex court has praised him for appointing young lawyers as arbitrators. The court said that this helps in imparting training to these lawyers in alternative dispute resolution mechanisms. It also helps in reducing cost.
“The Bombay High Court has now started the practice of appointing young knowledgeable lawyers as arbitrators at the lowest cost,” the bench said. These young lawyers consider it an honor to be appointed from the High Court. They work hard. Complete it in two or three sittings. They also charge lesser fees as compared to others. They are doing a great job.
Justice Chandrachud recalled an incident when he was a judge in the Bombay High Court and a person was appointed as an arbitrator.
He said, ‘After some time both the sides came to us. He said with folded hands that we request you to change the mediator. He said that the arbitrator is asking for an amount more than the fee fixed by the court. Therefore, we have directed that the fee will be charged as per the prescribed amount. You see, this is the problem.’ The bench said that when it appoints the arbitrator, it specifically mentions that the fee will be charged as per the prescribed amount.
what was the matter?
The counsel for a company named Supreme Cylinders Ltd said that the arbitration proceedings are pending since 2017. He said that the arbitrator appointed by the court is adjourning the proceedings again and again on one pretext or the other, despite charging a fee for each meeting.
He told the court that it would be better if another single arbitrator be appointed and the matter be decided without adjournment. The lawyer said that he wants Bharat Petroleum to fix the price of cylinders immediately as his client’s business is getting affected due to repeated adjournments of the arbitration proceedings.
After hearing the arguments of all the parties, the top court ordered, “All disputes and differences between the parties shall be referred to the sole arbitration of Justice Naresh H Patil in place of the arbitrator appointed by this Court on April 24, 2017. Is.’
The bench said the proceedings would commence from the stage reached before the previous arbitrator. The arbitrator will take a decision after hearing the final arguments on the basis of the evidence already on record. The apex court said that considering the stage at which the arbitration proceedings have reached, the one-time fee of the arbitrator has been fixed at Rs 15 lakh. The plaintiff and the defendant will pay this amount together.
“Keeping in view the fact that the arbitration proceedings are pending since 2017, the newly appointed arbitrator is requested to expedite the proceedings and complete the proceedings within four months from the date of receipt of certified copy of this order,” the bench said. .’